Ipa Model for Analysis of Service Importance and Performance Level

In addition, the IPA technique allows organizations to identify attributes or their combinations that influence customer consumption behavior more or less. This is considered valuable information for developing marketing strategies in organizations as well as the process of forming useful management tools (Ford et al., 1991). The process of developing IPA is carried out through identifying attributes related to the quality assessment situation for a service. After consulting experts and managers (through focus group interviews), a list of quality attributes for evaluation is given. Next, the study will establish a questionnaire to collect information from customers to evaluate the importance of each attribute for providing service quality as well as to evaluate the level of implementation. By using the mean values to calculate the importance and implementation attributes as well as compare the mean differences of each quality attribute. For each attribute value obtained, it will be represented on a graph of 04 regions (importance and performance).

High

Maybe you are interested!

PART I

Level of importance

FOCUS ON DEVELOPMENT

High importance Low implementation level PART III

DEVELOPMENT RESTRICTIONS

Low importance

Low level of implementation

PART II

KEEP MAINTAINING

High level of importance

High level of performance

PART IV

REDUCE INVESTMENT

Low importance

High level of performance

Low Implementation Level High

Table 1.1: IPA model analyzes the importance and performance level of services

case- Martilla, James (1997)

Its results will indicate the priority of quality attributes to take actions to improve them (Slack, 1991). The four areas in the IP graph are evaluated as follows:

Quadrant 1 (Development Focus): Service quality attributes in this area are considered very important to customers, but the level of performance of the service provider is very poor. This result suggests that service management should pay attention to these attributes, focusing on developing the level of service provision to satisfy customer needs.

Quadrant 2 (Continue to Maintain): Attributes in this quadrant are considered very important to customers and the service provider has also performed very well. Service delivery managers should continue to maintain and develop this strength.

Quadrant 3 (Limited Development): Attributes in this quadrant are considered to have low performance and are not important to customers. Service providers should limit resources to develop these attributes.

Quadrant IV (Reducing Investment): Attributes that fall in this quadrant

considered unimportant to customers, but the supplier's performance is very good. It can be seen that the current excessive investment is useless. Service supply managers should use this resource to focus on developing other attributes.

Through this chart, the organization will know the priority of quality attributes to take actions to improve them (Slack 1991). In addition, the chart can also provide a useful guide for forming the organization's marketing strategy (Burns, 1986). So far, the importance and performance analysis has been applied in a number of different service sectors such as: Tourism (Bush & Ortinqu, 1986; Evans & Chon, 1990; Uysal et al., 1991; Martin 1995); Healthcare (Cunningham & Gaeth, 1989; Nitse & Bush, 1993); Education (Alberty & Mihailik, 1989); Banking (Ennew et al., 1993).

1.2. Practical basis

1.2.1.Some features of the real estate market

1.2.1.1.Real estate market in Vietnam

Over the past 10 years, the Vietnamese real estate market has experienced many ups and downs, but above all, it has been a spectacular re-heating after a period of freezing in most of the implementation of the Party and State's policies and guidelines on economic development.

socialist market, in the past 10 years, the real estate market has developed in terms of scale, quantity, product structure, investment capital and market participants.

Currently, the whole country has been implementing 5,000 projects, with a total investment capital of more than 4.5 billion VND (3 times higher than in 2009). The number of apartments has grown strongly. According to 2010 data, Hanoi's population reached about 6.6 million people, the whole market had more than 20,000 townhouses, apartments were mainly old apartments, estimated at about 73,000 units. By 2019, Hanoi's population reached 8.1 million people, about 46,000 townhouses and more than 300,000 apartments.

In addition to commercial housing, there are also social housing, industrial real estate, tourist real estate (villas, tourist apartments), offices, and commercial centers for rent. By the end of 2019, out of a total of 5,000 housing projects, there were more than 1,000 social housing projects; there were 326 industrial parks, about 30,000 tourist accommodation establishments; there were 6 million square meters of offices for rent (nearly tripled in 2009).

Like a cyclical law, the real estate market over the past 10 years has gone through stages of development: fever - freezing - stagnation - recovery and growth again.

Specifically, the period 2009 - 2010 was a period of hot development of the market, most real estate segments grew hotly mainly due to credit easing.

The period 2011 - 2013 was a period of stagnation and freezing, due to banks tightening capital sources and credit standards for real estate loans; considering real estate a non-production sector.

The period 2014 - 2019 is the period of recovery and development of the real estate market, because during this period the State has issued many suitable mechanisms and open policies to control and facilitate the development of the market. However, since the end of 2019, there have been signs of stagnation in some segments due to imbalance in supply and demand and credit conditions.

( Source: baoxaydung.com.vn) In 2020, although the real estate market has risks of slowing down, in general, with positive factors of the macro economy, this market still has basic development.

stable development

The real estate market in the first months of 2020 faced countless difficulties and challenges. While legal policies have not been resolved, the Covid-19 pandemic has once again pushed the market into a "difficult situation". According to records, most real estate businesses have been clearly affected, crowded events such as marketing promotion (PR), sales have been canceled....

Some real estate businesses have changed their business plans, effectively applying technology in their business strategies such as:

✓ Deploy sales apps

✓ Use ads with videos, 3D scanning

✓ Livestream broker to introduce products to customers to support buyer partners.

The real estate market is in a gradual decline and has not yet reached its peak. There are still many bright spots to expect the market to recover if the epidemic is soon completely controlled.

How does Covid 19 affect Vietnam real estate?

 Difficulty:

The resurgence of Covid-19 has severely affected the progress of ongoing projects. This is a huge challenge because if the investor has a project that is on schedule, they still have to pay the contractor. If the cash flow is slowed down due to customers' payment interruptions, the investor will have a very difficult time.

This situation had not been resolved when, in early 2020, the Covid-19 pandemic struck, causing an unprecedented decline in market transactions.

Statistics show that in the first quarter of 2020, new supply and consumption were the lowest since 2015; about 800/1,000 trading floors nationwide have temporarily suspended operations; a series of real estate brokers lost their jobs...

Businesses face more cash flow difficulties if the launch event is postponed or market demand drops sharply.

 Solution:

To overcome the above difficulties, many solutions have been proposed since the beginning of 2020. Social housing projects that are being implemented but have capital problems will work with the State Bank to find solutions to support loans.

The State will regulate by increasing incentives for businesses participating in the low-cost commercial apartment segment with an area of less than 75m2 and a price of less than 20 million VND/m2. It is expected that in the third quarter of 2020, a draft Resolution will be submitted to the Government. If this resolution is issued, it will help the market develop stably and harmoniously.

On the business side: Change the payment schedule according to contractual obligations with customers. This is also the solution of many real estate development businesses to find ways to share difficulties with customers. Thus, businesses have accepted to reduce profits to maintain stable housing prices after the Covid-19 pandemic.

Promoting technology application and investment in real estate: By applying technology, customers can know information about the project, visit the apartment through virtual reality with just a smartphone, at the same time helping customers save time, creating flexibility, initiative for customers and limiting contact with crowds during the epidemic season. This is a factor promoting online transactions in the real estate sector.

(Source: batdongsanoline.vn)

Real estate market in the first months of 2021:

According to the Department of Housing and Real Estate Market Management, real estate prices in 2020 and the first two months of 2021 continued to increase, with some areas and projects increasing by over 10% compared to the beginning of 2020.

This parameter is a picture of the overall market assessment, but in reality, in the first 2 months of 2021, the real estate market in many localities experienced local land fever with increases of up to several tens of percent, even a few percent such as: Luong Son (Hoa Binh), Gia Vien (Ninh Binh), Thu Duc (Ho Chi Minh City), Hon Quan (Binh Phuoc).

The increase in real estate prices in 2020 despite the difficult situation of the pandemic has given investors confidence and the market growth picture in 2021, especially when bottlenecks are cleared and the macroeconomic picture appears with brighter colors.

Mr. Nguyen Van Dinh, Vice President and General Secretary of the Vietnam Real Estate Brokers Association, commented that the real estate market has had an amazing recovery. State prices are forecast to continue to increase as the market growth cycle has not ended.

end. In 2021, house prices will continue to increase by about 10% compared to 2020. (Source: baochinhphu.vn)

1.2.1.2.Real estate market in Thua Thien Hue

Number of real estate projects doubled

According to statistics from the Department of Construction of Thua Thien Hue province, since 2016, the real estate market in Hue has recorded remarkable developments. Especially in 2018 and 2019, the market entered a period of explosion in both the number of projects and products.

“The Southeast area of Hue City is considered the center of the market when the number of projects has increased at an unprecedented rate. For example, in An Van Duong area, there were only 32 projects in 2015, but now it has increased to 64 projects. Not only that, with the development of the tourism and service industry in recent times, the real estate market in Thua Thien Hue has now started to 'heat up' again" - Mr. Nguyen Phuoc Buu Hung - Deputy Director of the Department of Construction of Thua Thien Hue province - said.

Not only tourism real estate projects but also commercial housing development projects and urban development investment projects are developing equally. According to data from the Department of Construction of Thua Thien Hue province, currently, the whole province has 10 commercial housing development projects and urban development projects that have been approved for investment, and are being implemented with a land area of about 230.1 hectares, along with about 7,146 apartments, equivalent to about 2.032 million square meters of floor space. Some large real estate projects attracting demand such as: Phu My Thuong urban area, Phu My An urban area, Manor Crown complex, Joyal Park project, Thuy Van Complex phase 2 project, ... have promoted the development of the market here.

In particular, the real estate market in Thua Thien Hue has recorded the excitement of the land segment after a long period of stagnation. “While land in the North and Northwest is quite quiet, the South and Southeast of the province are bustling. Land prices in new residential projects have “warmed up” due to the increasing demand for residential land. The growth of the land market in this area has created a spillover effect for the development of land projects in neighboring districts and towns,” Mr. Hung shared.

According to Mr. Hung, the reason why the southern area and land in planning areas have become the focus of the land market is because the initial technical infrastructure in these areas has been fully invested, and the orientation of moving the administrative center of Hue City to the South has pushed the market up.

From an investment perspective, many real estate project investors in Thua Thien Hue said that an important factor contributing to the recent revival of the Thua Thien Hue real estate market is that the caution of Hue people has decreased, helping them see opportunities and have much higher confidence in the real estate market than before.

“This is reflected in a series of projects from land to social housing, mid-range and high-end apartments that all have owners right after being opened for sale or auctioned,” said Mr. Quan, an investor.

Price doubled compared to before

Although people are still cautious, the increase in population size in the area has boosted the demand for real estate in the southern and southeastern areas of Thua Thien Hue province. Not only that, the change in tastes and the trend of improving the quality of life of residents has created a bustling atmosphere in this southeastern area.

Record land prices in the planning area of Xuan Phu, Thanh Thuy, Thuy Van, Phu

Vang,… has had strong changes, even the price has doubled compared to before. “If before the price of land on the main road of the Xuan

"The price of land in Phu Chi was only 16 million VND/m2, but now it has increased to 35 million VND/m2. In the planning area of Thuy Thanh, Thuy Van, the price has increased from 7-8 million VND/m2 to 12-16 million VND/m2 or the land in the planning area of Vinh Ve, Phu Vang has increased from 3 million VND/m2 to 5.5 million VND/m2.... This shows that not only the value of real estate has increased significantly but also represents an investment opportunity for the market" - Deputy Director of the Department of Construction of Thua Thien Hue province said.

Assessing the reasons for the strong growth in real estate prices, the leader of the Thua Thien Hue Department of Construction said that in order to create conditions for market development, the provincial Department of Construction authorized the Thua Thien Hue Real Estate Association to organize exams to grant real estate brokerage practice certificates in the province and up to now, real estate brokerage activities have been put into order, complying with the provisions of the Law on Real Estate Business and the Law on Housing.

“In addition, the orientation of developing Hue city into one of the major cities of Vietnam by 2025 is one of the growth poles that creates development momentum for the real estate market of Thua Thien Hue. In particular, according to the orientation at

Comment