Suggestions On Implementing Social Responsibility Customer-Oriented Approach

The sample description in chapter 3 shows that none of the clients belong to other state-owned commercial banks such as the Global Oil and Gas Bank, Ocean Bank and Construction Bank. Therefore, Agribank should be classified in this group for convenience of analysis.

- Group 2 – other joint stock commercial banks (115 survey panels): this group includes other Vietnamese joint stock commercial banks, excluding group 1.

The SEM results show that both the variable and the partial invariant models are suitable for the market. The difference between the Chi-squared value and the coefficient of freedom between the two models is 18,149 and 13, respectively (Table 4.21). Thus, the difference between the variable model and the partial invariant model is not statistically significant (p=15.2%>5%). The partial invariant model is selected.

Table 4.21 Multi-group analysis by bank characteristics

Comparative model	2_	DF	P	CMIN/df	TLI	CFI	GFI	RMSEA
Partial Immutability	839,516	677	.000	1.240	.960	.964	.814	.032
Mutable	821,367	664	.000	1.237	.960	.965	.818	.028
Value difference	18,149	13	.152	0.003	.000	-.001	-.004	.004

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(Source: author's calculations from AMOS and Excel)

Thus, the bank ownership does not change the relationships in the proposed research model. It proves that although banks in group 1 have many advantages in terms of capital, scale, and brand reputation, they are also interested in implementing corporate social responsibility well in the current business context.

 Multi-group analysis according to characteristics of banking products and services

Analysis of multi-group structure according to characteristics of banking products and services is divided into two groups: savings deposit products and payment deposit products.

The analysis results show that P_value = .001<5%, so the difference between the variable model and the partial invariant model is statistically significant. This means that CSR will affect customers' beliefs, emotions, satisfaction and recognition

customer type, and these factors affecting customer loyalty will be different between paying customers and saving customers.

Table 4.22 Multi-group analysis by characteristics of banking products and services

Comparative model	2_	DF	P	CMIN/df	TLI	CFI	GFI	RMSEA
Partial Immutability	824,126	677	.000	1.217	.955	0.959	.812	.030
Mutable	788,704	664	.001	1.188	.961	0.965	.820	.028
Value difference	35,422	13	.001	0.029	.039	-0.006	-.008	.002

(Source: author's calculations from AMOS and Excel)

This difference can be explained by the fact that usually customers deposit money to pay, they are less inclined to change banks for a number of reasons for convenience in payment, transactions as well as relationships with employees. banks or simply they are the customers whose business they work for making salary payments through that bank account, so they use that account as a compulsion. For customers who deposit savings, they tend to pay more attention to the direct benefits they receive such as interest rates, preferential programs, promotions, etc. And they are willing to change if they find it. see another bank with better policies, so their probability of changing banks is also high. Therefore, this distinction is entirely consistent.

Table 4.23 Summary of results of multi-group analysis

Variable		Test hypothesis tra	Result
Customer characteristics	Gender (Male and Female)	There are differences in the influence of CSR on the loyalty of depositing customers among different groups	There is no difference each other at the 5% significance level.
	Time to use translation service ( < 3 years and > 3 years).		There is a difference in significance level 10%
	Income (under 10 million VND, 10 million VND or more)		There is no significant difference 5%
Characteristic	Features of the bank		There is no difference

of banks and service products

banking service

(SBV and

other Joint Stock Commercial Banks).

each other at the level of significance

Banking products and services (payment deposits and

saved money)

There is a difference at 5% significance level

Thus, when conducting multi-group analysis, the results show that the difference in gender, income, bank characteristics does not change the relationship between social responsibility, customer trust, emotional customer satisfaction, customer identification, and customer loyalty with 95% confidence. However, differences exist for the characteristics of different banking products and services including savings deposit products or payment deposit products with 95% confidence; and the difference is also significant for groups of customers with different time of using deposit service with 90% confidence.

CONCLUSION CHAPTER 4

In chapter 4, the author presented the research process and built qualitative and quantitative studies. The author uses qualitative research to adjust the scale and build survey questionnaires. Besides, quantitative research to test the reliability of the scale, exploratory factor analysis, confirmatory factor analysis to eliminate inappropriate observed variables. The results show that the research model fits the market data. Hypothesis testing accepts 12/13 initial hypotheses, showing that the positive impact of CSR on loyalty through four mediating factors is customer identification, customer trust, emotion, satisfaction of cutomer. At the end of the chapter, the author conducts multi-group analysis according to customer characteristics and characteristics and banking products and services.

CHAPTER 5: CONCLUSION AND SOME HINTS

5.1 Research results

From theoretical research combined with the research objective of determining the influence of CSR on customer loyalty, specifically, customers depositing money at Vietnamese commercial banks, the author builds an initial proposed model including including 6 factors, 4 of which are consequences of CSR: (1) customer identification, (2) customer emotions, (3) customer satisfaction, (4) customer trust row. These four consequences will affect the loyalty of depositing customers. Thus, the influence of CSR on loyalty is an indirect effect through consequences. In addition, the proposed research model also considers the impact of the factor "Customer identification" on the two factors "emotion" and "satisfaction", of "Emotion" on "Satisfaction". satisfaction” and finally the impact of the variable “Customer trust” on “Satisfaction” and “Customer emotion”.

The reliability of the scale is measured by Cronbach's Alpha coefficient and EFA factor analysis is used to test the convergence value and discriminant value of the scale. After analyzing Cronbach's Alpha, the original model still kept 28 observed variables for 2 main factors and 4 consequence scales, and Cronbach's Alpha coefficients were satisfactory, so all variables were kept. The results of the EFA factor analysis also show that all the extracted factors are consistent with the original hypothesis, so there is no need to reset the concepts or extract and remove the variables. The results of Promax rotation show that all 6 factors have factor loading coefficients greater than 0.5 (the lowest is .587), the variables in the scale download that factor.

The results of CFA analysis show that the scale has discriminant value and convergent value, and the critical model is compatible with market data. The results of testing the theoretical model also show that 12 out of 13 hypotheses are accepted; It means that corporate social responsibility of banks positively affects customer trust, satisfaction, emotion and identity. These four consequences continue to positively influence depositing customer loyalty. In which, the "customer identification" consequence is the strongest consequence of CSR (estimated coefficient is .636). Besides that

The factor “Customer identification” has a positive impact on customer satisfaction, “Customer emotions” positively affects “Customer satisfaction” and finally the impact of “Customer satisfaction”. customer trust” to “Satisfaction” and “Customer Emotions”. In this study, the direct impact of customer identification on customers' emotions is not enough to draw conclusions.

The research model of the topic is a synthesis from the research of Martínez & Bosque (2013), Pérez & Bosque (2015a), Nguyen Hong Ha (2016), Levy & Hino (2015) on the influence of CSR on loyalty member of the customer.

Research by Martínez & Bosque (2013) only uses 3 consequences (customer identification, trust, customer satisfaction). In this study, the author uses an additional consequence that is the customer's emotions. The relationships confirmed in the study by Martínez & Bosque (2013) have also been demonstrated in this study, but the influence of trust on customer identification due to Martínez & Bosque is not enough basis to confirm the effect. The author did not include the original research hypothesis.

Research results of Pérez & Bosque (2015a) for savings customers in Spain. The results show that customer-oriented CSR affects identity, customer satisfaction, and customer identification affects behavioral loyalty and attitudinal loyalty. Compared with the study of Pérez & Bosque (2015a)

, the author has combined behavioral loyalty and attitudinal loyalty into a loyalty scale. However, the conclusions of this study are similar to those of Pérez & Bosque (2015a).

Nguyen Hong Ha (2016), studied the influence of CSR on customer loyalty through 3 consequences: satisfaction, reputation, and business relationship. The results also show that CSR has a positive impact on customer satisfaction and customer satisfaction will affect loyalty. In this study, the author used 3 other consequences, inheriting satisfaction consequences. The results of this study are similar to those of Nguyen Hong Ha (2016).

Levy & Hino (2015) studied the relationship between factors affecting customer satisfaction. The results show that trust has a positive impact on customers' emotions and satisfaction, in which the emotional impact is stronger. The results of this study are completely consistent with this result. Customer emotions and satisfaction also show a positive impact on customer loyalty. Although this study was conducted with 436 customers of Israeli banks, the results of this study show that these relationships still hold true for customers at Vietnamese commercial banks in Ho Chi Minh City.

The research results of the topic are different from the previous research results in terms of the impact level of the factors but in general they are the same in terms of the influencing factors. Each study will be different in terms of survey subjects, space and time, so there will be differences in research results. Some similarities between research results in foreign banks and Vietnamese commercial banks in Ho Chi Minh City is that CSR will have a strong impact on customer identification. However, overseas customer loyalty is strongly influenced by customer satisfaction factor, while in Vietnam, trust factor is a more important premise to promote loyalty. .

When analyzing the difference in customer characteristics and characteristics of banks and banking products and services, at the 5% significance level, the influence of CSR on loyalty of depositing customers is not different by the characteristics. customer score (gender, transaction time, income) and banking characteristics, but there are differences in banking products and services at Vietnamese commercial banks in Ho Chi Minh City. between the group of savings products and the group of payment deposit products. However, at the 10% significance level, there is a difference in the influence of CSR on the loyalty of depositing customers among different customer groups in terms of transaction time. This result answers the third and fourth research questions of the thesis.

5.2 Some suggestions for commercial banks

5.2.1 Suggestions on implementing social responsibility customer-oriented approach

Ho Chi Minh City is home to many banks, so if the bank can take advantage of the benefits of good customer-oriented CSR implementation, it will bring great opportunities for banks in the area. operate more efficiently. Some suggestions are as follows:

- Continuously develop and innovate deposit products suitable for each specific audience to attract more customers, service fees related to products must be appropriate and competitive. This makes it easier for customers to feel that the product is practical for them. In addition to regular term savings products, it is possible to develop additional products such as investment savings, periodical savings, etc.

- Provide accurate information about deposit products to customers, specifically the rights and benefits that customers receive when participating in the product. Paying attention to the interests of customers through incentive programs, consulting, customer care, creating a close relationship between customers - the bank.

- Treat all customers fairly, show interest and align business activities with the interests of the bank - customers - the community through social programs, which can encourage customers to participate with these programs. This is a very effective way for the bank to bring customers closer to the bank as well as a way to promote the bank's image.

Banks that implement the above suggestions can help customers feel more confident and satisfied. Because over time using the bank's deposit products, they feel that they are treated fairly and with adequate benefits, then they will recognize this bank as reputable and socially responsible. This is a way to maintain loyalty as well as improve satisfaction, trust and positive emotions in the hearts of customers and will continue to stick with the bank for a long time. Some Vietnamese commercial banks are still limited in developing products,

like at Agribank, the number of deposit products is very small, mainly ordinary savings deposits. Some other banks have more products such as SCB, ACB, but some tellers are afraid to advise on new products, products that are rarely used. This sometimes causes banks to lose potential customers as well as opportunities to diversify their business.

When building a business strategy, banks should set the interests of each customer group differently. Each group has its own strategies. For example, for a group of customers who deposit payment, the characteristics of this group of customers are that their deposits serve payment needs such as shopping, cash withdrawal, transfer transactions, etc. Therefore, implementing CSR For this group of customers, it is necessary to pay attention to service fees, utilities attached to accounts such as cards, overdraft accounts or regulations on transaction limits, safety in online transactions, etc. In Ho Chi Minh City, businesses pay salaries through bank accounts a lot, this is an opportunity for banks to seize to increase this cheap payment deposit. Banks need to have their own preferential policies for businesses to encourage businesses to increase salary spending through their accounts. separate policies on service fees for each customer group. This will make it easier to attract customers to use the service. For the group of savings customers, they are more concerned with the safety of the money they deposit, or they consider and take a closer look at interest rates or preferential policies during their deposit. . Therefore, CSR implementation strategies are better implemented when the bank has an analytical comparison of its products and strengths with competitors, thereby providing customers with the best products with competitive prices. Lowest cost but still guaranteed or they consider and take a closer look at interest rates or preferential policies during their depositing process. Therefore, CSR implementation strategies are better implemented when the bank has an analytical comparison of its products and strengths with competitors, thereby providing customers with the best products with competitive prices. Lowest cost but still guaranteed or they consider and take a closer look at interest rates or preferential policies during their depositing process. Therefore, CSR implementation strategies are better implemented when the bank has an analytical comparison of its products and strengths with competitors, thereby providing customers with the best products with competitive prices. Lowest cost but still guaranteedtarget profit for the bank.

5.2.2 Suggestions on the premises to improve the loyalty of depositing customers.

In addition to implementing CSR well, contributing to improving the loyalty of depositing customers in Ho Chi Minh City. Ho Chi Minh City, banks should also take actions to

directly impact the premise to improve customer loyalty. As follows:

Customer identification

Customer identification is an important consequence of a bank's CSR and is also the most influential mediating factor in the relationship between CSR and customer loyalty. Customers feel more similarities between themselves and the bank, it can more easily foster a close relationship. From this similarity, customers tend to be more satisfied with the quality of services provided by banks. And especially, good customer identification will also indirectly make customers more loyal to the bank's deposit products through customer satisfaction. To better identify customers, banks can:

- Identify the customer segment that the bank and products target and determine the real needs of customers.

- Survey customers depositing regularly to soon recognize new trends and needs of customers.

- Actively approach customers through many channels, means...

According to the results of customer sample analysis in Ho Chi Minh City, about 62% of customers are under the age of 40 and nearly 50% of customers with incomes from 5,000,000 to 10,000,000 VND are using deposit products of banks. NHVN. This can also be easily explained because in Ho Chi Minh City, there are many active businesses, so the office staff is also very crowded. This audience often makes low-level direct transactions at banks due to the nature of their work, instead they often use online channels for shopping and transactions. Therefore, in order to reach this customer group, banks should strengthen online marketing activities through email, social networks, etc. to introduce deposit products that will be easier to create positive effects. As well as enhancing online promotions and incentives, it will be easier to attract customers.

Online products with a variety of maturities would be the preferable choice. When their individual needs are met, their personality is partly expressed through the deposit products they use, they will certainly be more satisfied and will use them for longer.

Customer confidence

The influence of CSR on customer trust is also significant, second only to customer identification. Customer trust also impacts customer emotions, satisfaction, and loyalty. In particular, according to the survey results, trust is a very important premise of the loyalty of depositing customers in Ho Chi Minh City. Ho Chi Minh. This means that when a customer sees that this bank has CSR, they will tend to trust the bank and its products more. And when they trust, they will have more positive emotions and will be more satisfied. Combined with these things, depositing customers will be more loyal to the product or service they are using, which means they will continue to use the service or recommend it to relatives and friends. Ho Chi Minh City with the advantage of being the leading location in the country in terms of economic development in all aspects, The banking system is also included in that common development. Therefore, it is necessary to actively build the bank's trust with the bank. Some suggestions to increase the trust of depositing customers:

- Development of facilities, young, friendly, professional staff, accurate deposit transactions, honest product advice, actively building a beautiful external image and price inner treatment.

- Expanding the wide transaction network, HCMC banks can reach customers more easily, but it is also a favorable condition for customers to switch banks if they lose faith in the bank.

- The security system must be absolutely safe and highly confidential, take the initiative to take responsibility before customers when something goes wrong.

- Apply advanced technology in deposit transactions such as fingerprint technology, iris technology, face recognition, etc.

Customer's feelings

Customer emotions positively impact customer satisfaction and loyalty. For this effect to be positive, it must be a positive emotion. This positive emotion may come from the effects of CSR. If customers feel they are depositing money in a bank that is responsible for customers, responsible for society and the community, they will feel more comfortable and sympathetic to the bank. Thus, CSR can indirectly affect loyalty through the mediating factor of customers' emotions. Positive emotions often come from positive actions. Banks can:

- Regularly organize customer gratitude programs, special offers for customers on holidays, Tet, birthdays, ...

- Always keep a friendly transaction atmosphere with customers, maximum support for customers to come to trade. If there is an error, the customer must take responsibility and show respect to the customer.

- Arrange a convenient, easy-to-see and attractive transaction space.

- Regularly organize community programs and encourage customers and the bank to bring more meaningful and useful things to society.

Survey results of customers in Ho Chi Minh City, in the CSR scale, the average variable TN5 is the lowest, which means that the bank's implementation of CSR activities with the community and society is not high. Thus, in order to increase the influence of CSR, Vietnamese commercial banks in Ho Chi Minh City need to be more active in these activities. Ho Chi Minh City currently has 19 districts and 5 districts under it, in which Can Gio has an island commune of Thanh An and a number of districts with very difficult socio-economic conditions. Commercial banks need to strengthen their activities with society, linking the bank's values with the communities and localities that need this support. This contributes to improving the value and image of the bank in the eyes of depositors, creating more positive spillovers in emotions and feelings, promoting satisfaction and increasing customer loyalty. with the bank.

Customer satisfaction

Satisfaction has a positive impact on customer loyalty. On the other hand, satisfaction is also affected by a number of other consequences such as trust, emotion and customer identification. Therefore, satisfaction is an important factor when analyzing the consequences of CSR and the premise of customer loyalty. Vietnamese commercial banks in Ho Chi Minh City can improve satisfaction through:

- Good implementation of product policies, product commitments.

- Regularly conduct surveys to know the actual feelings of customers about the bank and products to promptly adjust and change to suit customers.

- Ensure the number of tellers to meet customer needs at peak times, do not let customers wait too long to affect customers.

- Simplify unnecessary procedures to promote more efficient transactions.

Currently, at some banks such as Techcombank and ACB, customer satisfaction assessment is very good. At the transaction points in Ho Chi Minh City of these banks, right after the transaction, there will be a small survey screen about the transaction quality of the bank for customers to make contributions to improve the quality of the transaction. improve service quality as well as measure customer satisfaction when coming to the transaction bank. Or for VIB, a few days after the customer comes to the transaction, this bank conducts a phone survey to evaluate the employee's working attitude and behavior with the customer. These are very good ways to monitor the quality of services that the bank provides, the opportunity to listen and understand customers better, helping the bank to make timely changes to better service, customers increasingly more satisfied.

5.3 Limitations and direction of the topic development

Although, most of the hypotheses in the topic have been tested. However, this study was only conducted for customers depositing money in Ho Chi Minh City, so the generalization ability is not high. Customers in HCMC may be different from customers in other areas of Vietnam. Therefore, it is necessary to do more in other cities of Vietnam. To be able to develop the topic, there are several directions:

Firstly, research to discover more differences in the influence of CSR on the loyalty of different subjects in terms of education level, geographical area, etc.

Second, expand the study scope to compare, see if there exists a difference between different ranges or not.

Third, add some other factors such as customer commitment, bank's reputation, personal relationship with the bank, etc.

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