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A THEMATIC PAPER SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF MANAGEMENT

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Nguyễn Gia Hào

Academic year: 2023

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This thematic paper was conducted to explore and understand the factors influencing the purchasing behavior of Chinese consumers for Thai skin care product. The conceptual framework is used to hypothesize the factors that may be important or potential factors influencing the purchasing behavior of Chinese consumers in Thai skin care product. The result of this study confirmed that the country-of-origin effect holds the most influential factor affecting Chinese consumers' buyer intention for Thai skin care product.

The objective of this research is to identify the main factors influencing the purchase intention of Chinese consumers for Thai skin care product.

Table Page
Table Page

LITERATURE REVIEW

  • Country of Origin Effect
    • Imported Product Perception
    • Thailand General Perception
    • Thai Skincare Product Perception
  • Skincare Product Trend
  • Product Related Factor
    • Price
    • Product benefit offered
    • Reviews
  • Buying Experience Related Factor
    • Variety of Product
    • Convenient Channel
  • Framework and Hypotheses

The factors such as price, benefit of the product offered and reviews are considered as the external driver of demand for Thai skin care products by Chinese consumers. The online channel in this study refers to the Chinese web pages or social media platforms that sell skin care products. On the other hand, the offline channel in this study refers to virtual stores selling skin care products in Thailand.

H4: Purchase experience-related factors positively influence Chinese consumers' purchase intention of Thai skin care products.

Figure 2.1  Main factors that influence Chinese consumers’ purchase intention on  Thai Skincare product
Figure 2.1 Main factors that influence Chinese consumers’ purchase intention on Thai Skincare product

RESEARCH METHODOLOGY

  • Research Design
  • Instrument
  • Sample
  • Data Collection
  • Data Analysis

The questions in the survey will be applied on the Likert scale structure to assess the perception and motivation in purchasing Thai skin care product. I probably trust the quality of products made in Thailand. My take on Thai skincare products is that they offer good value for money. It makes me think of Thailand when I use Thai skincare products In general, I have pretty specific brand preferences when buying Thai skincare products.

I will likely recommend others to buy Thai skin care products The Trend The popular trend of imports from countries like South Korea has. Thai skin care products offer a number of benefits to users, which makes me want to consume them. Channels When shopping for Thai skincare products, I like to check them out in retail stores first.

In this study, the factors influencing the purchase intention of Chinese consumers towards Thai skin care product will be investigated. Thus, the target respondents will be limited to those who are over 18 years of age, have visited Thailand within the past 5 years, and purchased Thai skin care products. In this research, descriptive statistics, factor analysis, correlation and cross-tabular analysis would be used for data analysis.

First, for descriptive statistical function, it will be used to group the Chinese consumers' demographic characteristics and experience in purchasing Thai skin care products. Second, for factor analysis, it would be used to narrow down the specific factors that actually influence Chinese consumers.

Table 3.1  Questions for each factor
Table 3.1 Questions for each factor

RESEARCH FINDING AND DISCUSSION

  • Demographic Information
  • General Information of Respondents
  • Cross-tabulation Analysis
  • Factor Analysis
    • Total Variance Explained
    • Rotated Component Matrix
    • Result after cross loading reduction
  • Linear Regression
  • Hypothesis Testing
  • Discussion

This means that Thai skin care products are at the top of consumers' shopping lists. Table 4.1 shows the relationship between gender and frequency of purchase of Thai skin care products. On the other hand, there are 56% of Chinese consumers who have never been to Thailand and rarely buy Thai skin care products.

This means that people who have never been to Thailand would be less likely to buy Thai skin care products. Consequently, the first three factors are important factors influencing Chinese consumers' intention to purchase a Thai skin care product. The country-of-origin effect, which consists of the perception of the imported product, the general perception of Thailand, and the perception of Thai skin care products.

In this research, the chosen dependent variable is Chinese consumers' purchase intention towards Thai skin care product. In order to identify the significant factor, checking the condition that only the factor with significant level below 0.05 can be used to identify the factors that affect the purchase intention of Chinese consumers for Thai skin care product. To illustrate, the result in Table 4.9 shows that only one of the three factors is related to Chinese consumers' purchase intention for Thai skin care product.

In other words, H1 is accepted, where the country of origin effect has a positive influence on Chinese consumers' purchase intention of Thai skin care products. After collecting data and obtaining results from various statistical analysis, it shows that 70.8% of the respondents would like to buy Thai skin care products. It can be considered that Thai skin care products are accepted by Chinese consumers and they would like to buy Thai skin care products.

In this factor, referring to the literature framework, the country of origin effect factor consists of three main elements, namely the perception of imported products, the general perception of Thailand and the perception of Thai skin care.

Figure 4.2  Summarized table of respondents’ general information
Figure 4.2 Summarized table of respondents’ general information

CONCLUSION AND RECOMMENDATION

Conclusion

Figure 5.1 shows the conclusion of the finding based on the study after collecting data from 136 respondents and conducting statistical analysis such as descriptive statistics, cross-tabulation analysis, factor analysis and regression to analyze the data. To illustrate, the majority of respondents agreed with all variables in this study that influence purchase intention. It can be considered as a good and positive perception of Chinese consumers towards Thai skin care products.

To identify the most important critical factors influencing Chinese consumers' purchase intention on Thai skin care product by conducting factor analysis helps to limit the numbers of unrelated factors. After being tested by regression, the final significant and influential factor remains the factor of country of origin effect. Even other potential factors such as trend, product-related factor and buying experience-related factor may be influential in some way, they are not as important as the country of origin effect.

Recommendation and Practical Implications

  • Build a better brand image and brand positioning
  • Focus on stressing Thai skincare product as souvenir
  • Creative and suitable marketing communication

As more and more Thai manufacturers and retailers today want to export Thai local products to target Chinese consumers, the brand image itself should be strongly associated with the country of origin: Thailand. As Thailand ranks first as a manufacturer and exporter of OEM skin care products in ASEAN, it will certainly help Thai sellers in this field to enter the international market. The survey shows that Thai skin care products are the most important souvenir that pops up in the minds of Chinese consumers.

It is therefore important to emotionally maintain and strengthen the association between Thai skin care product and Thai souvenirs. This helps to make Chinese consumer, whenever they think of Thai souvenirs, will think of Thai skin care product at least in the top three products in their list. From the results of research, some respondents are likely to buy Thai skin care products, even for those who have never visited Thailand.

Since most of the respondents are likely to buy Thai skin care products, it means that Chinese consumers have a good perception and trust in Thai skin care products. It is considered a good indication that Chinese consumers are open to trying Thai skin care products even if they do not know about Thailand. As Chinese consumers today prefer online shopping, Thai sellers aiming to export Thai products should decide on the right channel to target the right segment accurately and build trust.

This will help the Chinese consumer to absorb the awareness of Thai-made products, accept more and trust Thai skin care products. With the mix of quality, strong commitment, strong affiliation, creative marketing and continuously improved innovation, this would help to strengthen the position of Thai products in the minds of consumers and to better influence the Chinese consumer to make a decision to buy Thai skin care product for every occasion.

Research Limitation and Future Research

Therefore, continuously improving innovation and encouraging creative marketing in digital marketing are equally important. For example, popular online e-commerce marketing channels in China such as QQ, Wechat, Weibo, Taobao, TMall and so on are needed to focus on to better reach the target segment and potential consumers, communicate the product features and differentiation, and promote the product promoting country of origin linkage in creative ways.

Retrieved from https://www.cnbc.com china- travel-tourists-embrace-less-conventional-locations-and-tailor-made-trips. Marketing universals: Consumers' use of brand name, price, physical appearance, and retailer reputation as signals of product quality.

APPENDICES

Appendix A: Questionnaire

Demographics

Perception and motivation

您购买过或使用过泰国的护肤品吗?您认为什么样的产品适合买来作为泰国的伴手礼?泰国本土手工饰品泰国护肤品或化妆品。

完全同意(4)泰国是一个适合我旅游的国家。我更喜欢使用国外生产的护肤品,并且我相信泰国产品的质量。对我来说,泰国护肤品物有所值。我比较喜欢买泰国的护肤品,因为用了之后我的皮肤有明显的改善。

使用泰国护肤品给我心理上的满足感。我喜欢把泰国护肤品涂在脸上后的感觉。每次用泰国的护肤品都会让我想起泰国。泰国护肤品中我特别喜欢买品牌,我会推荐别人买泰国护肤趋势。

韩国等国家进口护肤品的流行趋势让我更愿意尝试或购买泰国护肤品。我会尝试或购买泰国产品,因为泰国是东盟第一家OEM护肤品制造商。使用反馈。选择购买泰国护肤品时,我会根据网上反馈或用户意见做出购买泰国护肤品的决定。护肤品在网上的排名或是否在必买清单上会影响我购买泰国护肤品的决定护理产品。

Gambar

Table Page
Figure Page  2.1 Main factors that influence Chinese consumers’ purchase intention
Figure 2.1  Main factors that influence Chinese consumers’ purchase intention on  Thai Skincare product
Table 3.1  Questions for each factor
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