The proposed title for this dissertation is “The effect of brand on customers’ purchasing behaviour on fashion in Ho Chi Minh city, Vietnam”. This study will aim to give concept of brand sector and its influences to build strong brand. Consequently, this study will demonstrate the relationship between brand and customer’s purchasing behaviour. In addition, the dissertation also figures out how customers are influenced by brand. Some frameworks or models which related to brand sector and customer behaviour will be applied to identify the aim of this study.
The reason to choose this topic is domestic fashion industry seems to be threatened by overseas due to emergence luxury brands. In this case, Vietnamese customers will be divided into 3 groups: the youth, the middle-aged and oldster. Consequently, this dissertation will find out how brand influence on each group’s purchasing behaviour and the similarities/differences between these groups toward the brands. Finally, this study will propose recommendations, strategies to maintain and reinforce and improve clothing industry in Vietnam.
2. Objectives for the Research * To identify the theories/frameworks related to brand and customer behaviour * To identify the bundle of attributes of brand influence on brand to build a strong brand. * To explore the importance of brand and its influences on customers’ purchasing behaviour. * To give recommendations to fashion industry in Vietnam to help companies improve and reinforce their brand and create completive advantages to abroad competitors.
3. Literature Review
Nowadays, people are more conscious about society whenever they make a purchase decision. Environmental issues are the most dangerous factor for people recently. Humans are facing global warming, sea drying out problem, change in season’s patterns, contaminated climate and water which are part and parcel for the healthy survival for the human being. Now brands are known for their corporate social responsibility and not merely on the basis of product only (Sidra et al, 2011).
There are two approaches of defining a brand are derived. The traditional one is a practical view which articulates a brand as a product identifier “a brand is defined as a distinguishing name and/or symbol which intended to identify the goods, services of either one seller or group of sellers and to differentiate those goods or services from those of competitors” (Aaker, 1991; Keller, 2003). Another approach, as holistic view, defines a brand as more than just the product (Styles & Ambler, 1995). This presents brand as the promise of the bags of attributes that people buys which provides satisfaction and attributes that make up a brand” (Ambler, 1992). It is seen that brands express the users’ personality with particular lifestyle. It also helps to convey a sense of belonging to a specific social group (Murphy, 1990). Brand has been developed over time as a set of values and attributes which significantly differentiate products of similar appearance.
The term consumer behavior is defined as process in searching for purchasing, using, evaluating and disposing of product and services that they expect will satisfy their needs. Consumer behavior focuses on how individuals make decisions to spend their available resources (time, money, effort) on consumption related items (Blackwell, 2001). In another words, consumer behavior may be defined as the behavior of individuals in regards to acquiring, using, and disposing of products, services, ideas or experiences. Thus, communication with consumers and receiving feedback for them is a crucial part of consumer behavior which is of great interest to marketers (Blackwell, 2001).
There is a relationship between customers and brands. An attempt to define it produced the term “brand equity'' in the marketing literature (Lisa, 2000). The concept of brand equity has been debated both in the accounting and