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4 Anova Analysis – Multiple Linear Regression with demographic independentvariables

4 Anova Analysis – Multiple Linear Regression with demographic independentvariables

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Customer Satisfaction had a positive influence on Customer Retention. A comparison
between data analysis results and the original theoretical research model can provide us
a practical insight in Mobile telecom industry in Viet Nam.
4.5.1 The unexpected insignificance of the Negative Switching Barrier’s role
The Negative Switching Barrier had two components: Switching Cost and
Investment Relationship. As the results from Multiple of regression analysis support
that the Negative Switching Barrier has a negative direct effect on Customer
Satisfaction as suggested by Claes Robert et al., (2003). The unexpected results are that
the negative link between Switching Cost and Customer Satisfaction, between
Investment Relationship and Customer satisfaction were not supported in this research.
This finding can be explained by the fact the mobile services market in
Vietnam. Currently, Vietnam's mobile market have got seven service suppliers, so
mobile carrier constantly compete to increase market share by as much as business
strategy: improving brand image, shorten length and expand width distribution channel
to bring information about suppliers and services to customers, users quickly and
efficiently. Besides, costs, connection new mobile services charges as well as service
charges for mobile is decreasing and cheap (the past 10 years, Vietnam has nine times
the rate reduction and telecommunication services to international telecommunications
today's Vietnam cheap 3rd in ASEAN). Therefore, customers using mobile services in
Vietnam do not pay much attention to Switching Cost, Investment Relationship. It
means Switching Cost, Investment Relationship in switching barrier have not
negatively impact customer satisfaction in mobile telecom industry in Viet Nam.


4.5.2 The impact of the Positive Switching Barrier on Customer Satisfaction
The Positive Switching Barrier had two components: Attractiveness of
Alternative and Interpersonal Relationship. As the results from Multiple of regression
analysis support that the Positive Switching Barrier has a positive direct effect on
Customer Satisfaction as suggested by Claes Robert et al., (2003). In this study, the
positive link between Attractiveness of Alternative and Customer Satisfaction, between
Interpersonal Relationship and Customer satisfaction were supported. Results of
Multiple Regression showed that stronger link between Interpersonal Relationship and
Customer Satisfaction with Standardized Coefficients (Beta = 0.695) than link between
Attractiveness of Alternative and Customer Satisfaction with Standardized Coefficients
(Beta = 0.236).
Thus, the strong link between the Positive Switching Barrier (Interpersonal
Relationship and Attractiveness of Alternative) and Customer Satisfaction reflects that
the carriers have strong supports in the interpersonal relationship to customers, they
toward repurchase intention. Therefore, the mobile carriers focus more on developing
and carrying out relationship-oriented marketing strategies to enhance interpersonal
relationships with customers and also try to make their services more attractive than
other competitors.


This chapter is the conclusion of the whole thesis work based on data analysis
results. It also contains some recommendations to the mobile telecom’ management
board presents research limitation and recommendations for future researches.
5.1 Conclusion
The primary purpose of this study was to investigate the strategies of companies
in Viet Nam mobile telecommunication services to increase customer satisfaction and
customer retention, also to find out the influencers and determinants of customer
satisfaction through the factors of switching barrier and their level of importance, then
influence to retention. In the following, the conclusions reached on hypotheses are
In this study four determinants of switching barrier for customer satisfaction
were suggested: switching costs, investment in relationship, attractiveness of
alternative and interpersonal relationship, and then this study determines the level and
important influence of customer satisfaction to customer retention. After gathering data
and analyzing it based on the theory, some interesting results were found.
Firstly, it was identified that customer satisfaction has positive effect on
customer retention with the most significant and high influence level. That means as
customer satisfaction is consider repurchase intention and customer retention. By
contrast, customers do not satisfy, they would like to decide switch or exit this supplier.
Secondly, it was verified the factors of switching barrier that is interpersonal
relationship have the most significant and positive effect on customer satisfaction and
overall attractiveness of alternative comes next.
Furthermore, it was identified the factors of switching barrier that are switching
cost and investment relationship have none significant and none or a little of negative
effect on customer satisfaction.


5.2 Managerial Implications
The Viet Nam mobile telecommunication market has become a “red ocean”, the
suppliers have to compete aggressively to win market share and has confirmed that any
mobile suppliers in the following also no room for the “pie market” was divisible. So,
the industry is shifting its strategic focus away from just attracting new customers,
towards gaining new customers and retaining existing customers through the
promotion of customer satisfaction and retention.
According to the historical development of mobile services in Vietnam, three
major suppliers are Viettel, MobileFone and Vinaphone that have been leading and the
proportion of market share. Thus, the bond Necklaces mobile market will continue to
be maintained as the ability to spike in subscribers is almost impossible. Through it, the
competition in the mobile market in Vietnam will add many new shades.
Regarding this issue, this thesis has some implications for managers in order to
set new goals.
First, the results of this study showed that customers evaluate interpersonal
relationship of switching barriers in mobile telecommunications services is the most
important influential factor for customer satisfaction. So, that is when the customers
has used the services of this supplier with relationships, information, friends, society,
works, they do not intend to switch or leave from actual supplier when there is demand.
Thus, mobile carriers must, above else, maximize customer satisfaction through
support and improve the interpersonal relationship of switching barrier in order to
enhance customer retention. In particular, mobile suppliers must focus on keep loyal
customers and customer-oriented by always providing the benefit value, customer
value to increase satisfaction and build a long-term relationship.
Second, the mobile carriers have strategies to increase the number of customers
in saturated mobile telecom market in Viet Nam should focus on developing new
customer that is not really get "interpersonal relationship " and expected in future they


will have the" interpersonal relationship" and become loyal customers of actual
supplier. Thus, the potential customers have been segmented and developed new
customers that are young audience of pupils, students. And hopefully, they will have a
job, get interpersonal relationships and expectations become sustainable loyalty
customer. So, the mobile carriers should focused on promotions, marketing, policy
preferences, especially price policies (in line with customer segments that are students,
young people have none income or low income) in order to attract a large number of
young customers, increase the number of mobile customers and increase market share
in Vietnam.
Third, in addition to the main factors affecting "interpersonal relationship" in
switching barriers in the Vietnam mobile telecommunication market, the factors
"Attractive of alternative" also has positive effect customer satisfaction. Therefore, the
mobile carriers will also need to do more works to improve the attraction and their
differences compared to competitors in Vietnam, such as: service quality, brand image,
attitude to care customer, price, technology, value-added services. So, customers
perceive the value of the benefits, value difference that the actual supplier has
supported. They choose and continue to use service of this supplier in context of the
competitive mobile market.
Further, interpersonal relationships between suppliers and customer and the
attractiveness of the products and services in the competitive market are factors that
retain customers.
In addition, the research results also reveal that the switching cost and
investment relationship have a little or none impact on customer satisfaction in the
mobile telecom industry. This reflects the customers are not interested in the switching
cost, investment relationship as they switch or leave the mobile supplier. So, this also
reflects the mobile carriers are face the tough competition that the cost, investment is
used to connect new mobile service or switch to other carrier, is so low.


Mobile suppliers’ managers are warned not to focus too much on the marketing
mix with price, promotion, place and product to forget the relationship building
processes. Therefore, mobile suppliers in order to increase customer lifetime value and
customer retention, while developing and carrying out relationship-oriented marketing
strategies to enhance interpersonal relationships with customers and also try to make
their services more attractive than other competitors.
5.3 Implications for Further research
By performing an empirical analysis of the impact of switching cost, investment
relationship, attractiveness alternative and interpersonal that the factors in switching
barrier, on customer satisfaction, then analysis of impact customer satisfaction and
customer retention, and the causal relationship between them. This study has provided
a comprehensive foundation for future studies of customer satisfaction and customer
retention in the mobile telecommunication services industry and suggested directions
for companies in this industry, especially in Viet Nam market.
The sampling method used in this study is convenience sampling. However,
from Anova analysis results, it seemed that there were no clear links between
demographic variables and dependent variables and that casts a doubt on the proper
choice of sampling method. An insight on the proportions of customer segments and
customer size is necessary in order to assure the sampling is done in the same
proportion. And this may be of improvement areas in future researches.


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