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Factors contributing to the development of the retail banking services in Hanoi, Vietnam

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This study focuses on factors contributing to the development of the retail banking services (RBS) in Hanoi, Vietnam. A four factor model is established, corresponding to four hypotheses in this paper. Based on a sample size of 615 customers and through a multiple regression analysis, results show that IT infrastructure - service channels and tangibles are factors contributing to the development of the RBS in Hanoi, Vietnam. | Asian Social Science; Vol. 11, No. 18; 2015 ISSN 1911-2017 E-ISSN 1911-2025 Published by Canadian Center of Science and Education Factors Contributing to the Development of the Retail Banking Services in Hanoi, Vietnam Do Huu Hai1, Nham Phong Tuan2 & Pham Van Tuan3 1 Information Technology Institute (ITI) - Vietnam National University, Hanoi, Vietnam 2 Department of Strategic Management, Faculty of Business Administration, University of Economics and Business, Vietnam National University, Hanoi, Vietnam 3 Faculty of Marketing, National Economics University, Vietnam Correspondence: Nham Phong Tuan, Department of Strategic Management, Faculty of Business Administration, University of Economics and Business, Vietnam National University, Hanoi, Vietnam. E-mail: tuannp@vnu.edu.vn Received: March 19, 2015 doi:10.5539/ass.v11n18p364 Accepted: April 14, 2015 Online Published: June 5, 2015 URL: http://dx.doi.org/10.5539/ass.v11n18p364 Abstract This study focuses on factors contributing to the development of the retail banking services (RBS) in Hanoi, Vietnam. A four factor model is established, corresponding to four hypotheses in this paper. Based on a sample size of 615 customers and through a multiple regression analysis, results show that IT infrastructure - service channels and tangibles are factors contributing to the development of the RBS in Hanoi, Vietnam. This result suggests that customers care about the convenience, speed and quality of serving of banking staff. Therefore, banks should always focus on upgrading IT infrastructure and online trading system; in addition, they often have to improve facilities in workplace, professional services and marketing, etc. The paper provides several implications to practitioners and suggestions for further studies. Keywords: retail banking services, Vietnam, effects, IT infrastructure, Tangibles 1. Introduction Development of retail banking operations is the tendency of the commercial banks in the world. In order .

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