CHAPTER 1
OVERVIEW OF THE THESIS
1.1. The necessity of the thesis research
Retailing in general and apparel retail in particular is a dynamic and complex
business environment with a large number of products, changing customer
preferences and differences in supply chain structure. The retail industry is facing
with many new challenges. The impact of the 4.0 technology revolution is driving
recent retail activity towards diversity in distribution channels. Especially in the retail
environment, innovation in offering services interacting with buyers through different
channels is very important.
Since 2006, after joining the World Trade Organization (WTO), the retail market
of Vietnam has really expanded. Besides new opportunities, the retail industry of
Vietnam also faces many challenges, the biggest of which is competitiveness. With
the development of economy and society, consumers are increasingly giving higher
requirements and in order to competitive retailers have to pay more attention to the
delivery of their services. The services that retail businesses delivery are not just
sales, but also a range of other services to satisfy their customers, motivating them to
make a purchase from a reception, consulting service, marketing to payment services,
after sales, etc.
For apparels, Vietnam in general and major cities of Vietnam in particular are
still attractive markets for retail businesses as well as Vietnamese and international
apparel companies. However, as with other businesses, SMEs and financial
weaknesses will make it difficult for apparel retail businesses to cope with the rapidly
changing seasonal trend of apparel goods. Consumers have a multitude of choices
and they only stop when they choose a suitable product in the most pleasant service
conditions.
Many SMEs in the apparel retail industry have been embarrassed not able to
adapt to new technology conditions yet, the important reason is that there is no
orientation to develop service delivery competencies , thereby improving quality of
service delivery to customers to create a competitive advantage for themselves.
Therefore, the research on service delivery competencies of apparel retail services is
indispensable and objective that SMEs need to pay attention. Recognizing the
importance of apparel retail service delivery competencies of SMEs in Vietnam, as
well as researching the situation of the apparel market in serveral major cities of
Vietnam, I decided to choose the topic "Researching the apparel retail service
delivery competencies of small and medium enterprises in major cities of Vietnam "
to be the subject of my doctoral thesis.
1.2. Overview of research situation
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1.2.1. Research overview of services and service delivery competencies
Service delivery by businesses is a particularly important and core activity of the
service profession. Therefore, a lot of research by foreign authors related to service
and service delivery competencies. Studies by foreign authors emphasize the role of
service delivery of businesses. It is the service delivery competencies that determines
customer satisfaction. Most studies show the necessary services delivery by
businesses, especially commercial enterprises, in order to achieve business goals.
Since then, there are many proposed service delivery models.
In Vietnam, there are many researches on the development of retail distribution
systems. However, these research projects and studies only show the development
orientation of the trade industry, including retail distribution in our country, as well as
focusing mainly on supermarket and big commercial centers. There has not been any
topic clarifying the current competencies of service delivery of retail businesses in
general, retail small and medium-sized enterprises in particular, and offering macro
and micro solutions to develop them.
Apparel industry is an industry that tends to change commodity designs quickly,
in need of the presence of retail businesses to specialize distribution effectively.
Therefore, researches on retailing of apparel are also carried out quite a lot abroad.
Studies on apparel retail are very rare, only related to the competitiveness of apparel
products sales, but not really focused on the research of apparel retail businesses of
Vietnam .
1.2.3. Overview on researching about small and medium enterprises
SMEs have an important position in the economy, especially in developing
countries. There are many studies on SMEs in the world. The research aims to
propose solutions to enhance the operating competencies of SMEs with many
different and diverse aspects. This is the basis for further research on SMEs to refer,
inherit and complete the research system for this particular group of enterprises. All
studies have the same affirmation of the role of SMEs in the economy, but so far no
specific studies of SMEs in the apparel retail of Vietnam.
1.2.4. Research gaps
1.2.4.1. Achievements of previous studies
About the theory
Firstly, when summarizing the research documents, the author identifies the basic
reasoning system for retail services, develops the competencies to delivery services
and SMEs in the retail of apparel. Secondly, economists have pointed out the role of
SMEs in developing the economy, especially in the retail sector, in order to see the
need to develop the service delivery competencies of the retailer. Thirdly, the
research materials have approached in many different aspects to indicate the activities
needed for retail SMEs to develop their service delivery competencies.
About practice
Firstly, depicts a very comprehensive picture of the status of SMEs in the
economy in general and in the field of apparel retail in particular. Secondly, the
studies have made many feasible recommendations for business executives in general
and SME managers in particular to come up with strategies to strengthen their service
delivery competencies to meet requirements of customers.
1.2.4.2. Research gap of the thesis
About the theory
Firstly, although domestic and foreign research documents have formed a
theoretical framework for service delivery competencies or SMEs in apparel retail, it
is very fragmented and disconnected. Secondly, there is no clear theoretical
framework for service delivery competencies model as well as assessing apparel
retail service delivery competencies of SMEs.
About practice
Firstly, there are no studies where the audience only focuses on assessing the
apparel retail service delivery competencies of SMEs in major cities of Vietnam.
Secondly, there have not been sufficient studies to propose solutions to improve the
apparel retail service delivery competencies of SMEs in major cities of Vietnam .
Thus, it can be seen that there have been many research topics in the field of
services, retail and SMEs, but so far, to my knowledge, there has been no research on
the field of service delivery competencies, services at small and medium-sized
enterprises as well as in the field of apparel retail. Therefore, the research of the
thesis topic is new and does not overlap with published works.
1.3. Research purpose and mission
1.3.1. Research purposes
The thesis studies aspects of apparel retail service delivery competencies of
SMEs in major cities of Vietnam today in order to find solutions to improve service
delivery competencies, contribute to the existence of enterprises and develop in the
context of competition.
1.3.2. Research mission
Systematize and build a basic theoretical framework for services, retail services
and service delivery competencies.
Analyze the current competencies of apparel retail service delivery of SMEs in
major cities of Vietnam .
Propose key directions and solutions to improve the apparel retail service delivery
competencies of SMEs in major cities of Vietnam by 2025, with a vision to 2030.
1.4. Object and scope of the study
1.4.1. Research subjects
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The object of the study is the apparel retailing service delivery competencies of
SMEs in major cities of Vietnam. The thesis focuses on retail businesses that have
fashion stores for the mass market. Retailing and designing apparel businesses are not
subject to the thesis's research.
1.4.2. Research scope
a. About content
The thesis summarizes the basic theories about service management, retail
management and service delivery competencies, building research content on service
delivery competencies of SMEs in the apparel industry. From the above correlation,
the thesis identifies the specific research content as:
- Factors constituting apparel retail service delivery competencies of SMEs
- Criteria and methods for assessing apparel retail service delivery competencies
of SMEs
- Factors affecting apparel retail service delivery competencies of SMEs
Within the research scope of a thesis, the author chooses to focus on researching
a number of key aspects that demonstrate the apprel retail service delivery
competencies of SMEs.
b. About space
The thesis researches on apparel retail SMEs in major cities of Vietnam at the
present period. The three cities surveyed were Hanoi, Ho Chi Minh City and Da
Nang.
c. Time
The thesis researches the current competencies of apparel retail service delivery
of SMEs in major cities of Vietnam from 2013 - 2018, solution orientation to 2025,
vision to 2030.
1.5. Research Methods
1.5.1 Methodology
The research methodology of the thesis is dialectical materialism and historical
materialism.
1.5.2. Secondary data collection method
Specific research methods used in the thesis include: statistical methods,
synthesis, comparative methods, comparison, data analysis ... to clarify the current
situation of apparel retail service delivery competencies of SMEs in major cities of
Vietnam. From there, evaluate, find limitations to propose appropriate problem-
solving solutions.
Secondary data collected and analyzed are published data on the apparel retail
market of Vietnam and the status of apparel retail service delivery competencies of
SMEs in 3 cities: Hanoi, Ho Chi Minh City and Da Nang.
1.5.3. Methods of collecting and analyzing primary data
Based on the theories in the thesis, the author conducted a survey on the
behavior of choosing a shopping location and the level of customer satisfaction for
apparel retail services in retail enterprises in 03 major cities: Hanoi, Da Nang and Ho
Chi Minh. The scales for assessing the apparel retail service package of SMEs are
inherited and developed from a set of scales for retail service quality (Retail Service
Quality Scale = RSQS) by Dabholkar and ptarners proposed in 1996.
The survey period began in 2/ 2017 and ended in 5/ 2017.
- Data processing method: Descriptive statistics and regression analysis.
* Methods of situation analysis
The project also uses the case analysis method to study case studies at H&H
Luxury fashion company and Tan Pham Gia Co., Ltd. so that specific solutions can
be proposed in accordance with the requirements of the company, with the
expectation of being able to contribute practical benefits to develop the retail service
delivery competencies of the enterprises.
1.6. New contributions of the thesis
- In theory:
Develop a system of content to create insights on apparel retail service delivery
competencies of SMEs; Develop factors affecting service delivery competencies of
apparel retail SMEs with a system of objective and subjective factors; Develop
criteria to evaluate service delivery competencies at apparel retail SMEs, customer
satisfaction. Especially, for the first time of Vietnam, the thesis uses the open service
delivery system model of Fitzsimmons and Fitzsimmons (2011) to build a theoretical
framework as a basis for practical research.
- In practice:
+ The thesis researches, learns and synthesizes reliable practical experiences of
countries related to the competencies to delivery services in apparel retail businesses,
have experiences for Vietnam in developing apparel retail service delivery
competencies at SMEs now and in the coming time;
+ Analyze the current situation of development of apparel retail SMEs of
Vietnam, assess the situation of apparel retail SMEs of Vietnam as well as the status
of service delivery competencies in apparel retail SMEs our country today; Point out
the limitations and find out the causes in the apparel retail service delivery
competencies of SMEs;
+ Proposing solutions to improve apparel retail service delivery competencies
of SMEs in the near future.
The results of this research will be a useful resource for managers in SMEs in
general, helping the service delivery process to enhance the competitiveness of
apparel retail SMEs in the market.
1.7. Thesis structure
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