MINISTRY OF EDUCATION AND TRAINING

UNIVERSITY OF ECONOMICS HO CHI MINH CITY

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THE IMPACT OF CONSUMER EXPERIENCE TO

MULTIPLE GOALS AND SUPPLIER SELECTION
– THE CASE OF HOUSING MARKET IN HO CHI
MINH CITY

Major: Commerce
Code: 9340121

SUMMARY OF ECONOMIC DOCTORAL THESIS

Ho Chi Minh City – 2023

 The thesis was completed at: University of Economics,
Ho Chi Minh City (UEH)
Research supervisor: Associate Professor Bùi Thanh Tráng

Reviewers 1 :

Reviewers 2 :

Reviewers 3 :

The dissertation will be defended in the

dissertation Evaluation Council Of University of
Economics Ho Chi Minh City
On … Date Month Year
The Thesis can be found at:…………….…………
- National library of Vietnam
- Library of University of Economics, Ho Chi Minh city
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CHAPTER 1: RESEARCH INTRODUCTION

1.1 RESEARCH BACKGROUND

1.1.1 Theory background

The concept of consumer experience has its original

theoretical foundation as experiential consumption, modeled by
Cova & Caru (2007, p.5) into four stages of experience.
According to Holbrook (2018), the topic of consumer experience
is widely applied, and applications in many fields are still being
explored by researchers. The next research theory is multiple
goals in consumption behavior based on the MGBCM (multiple-
goal-based choice model) framework of Swait, Argo & Li (2018)
which explains the maximization of behavior. through multiple
goals. The third theory in the study is supplier selection based on
MCDM (multiple-criteria-decision-making) background theory,
first introduced by Dyer et al., (1992) to explain the selection
criteria in decisions. Theoretical researches on the relationship
between consumer experience, multiple goals and supplier
selection have not yet been focused and are limited in scientific
publications in Vietnam.

1.1.2 Housing market background

The theory of consumer experience, multiple goals, and

supplier selection remains largely untested in the housing sector.
A handful of works address individual issues from the
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homebuyer's point of view. In Vietnam, research on home buying

experience, goals and investor selection in buying behavior has
also received little attention. Current research mainly points to
home buying decision factors, investment psychology, price and
access to credit. For real-estate company, the application of the
research to the implications of governance for housing businesses
is necessary in the context of the developing market in Vietnam.
Therefore, the name of this research thesis is “The Impact of
Consumer Experience on Multiple Goals and Supplier Selection
– The Case of Housing Market in HCMC”.

1.2 RESEARCH OBJECTIVES

The objective of this thesis is to study the relationship

between consumer experience components and multiple goals in
purchasing behavior along with the impact of consumer
experience on supplier selection criteria. Specifically:

- The first is to identify the components of consumer

experience, multiple goals, and supplier selection.
- The second is to determine the impact and relationship of
consumer experience, multiple goals and supplier
selection by linear structural regression method (SEM).
- The third is based on the proposed results of management
implications, the application helps housing company
(developers).
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1.3 RESEARCH QUESTIONS

- What is a homebuyer's set of consumer experience,

multiple golas, and supplier selection dimensions?

- How does the theoretical model of the impact of

experience dimensions affect multiple goals and supplier
selection in housing purchase?

- What are the implications of the research results for

housing company when designing experiences for
homebuyers to influence purchasing goals and supplier
selection as a developer?

1.4 RESEARCH OBJECT AND SCOPE

The object of the research is consumer experience,

multiple goals and supplier selection for homebuyers in Ho Chi
Minh City. Research scope is a commercial apartment project in
Ho Chi Minh City with about 15,000 real estate businesses. This
study carried out 2 phases; pilot study and main survey. Survey
subjects in the study are homebuyers in commercial apartments,
directly buying houses/main decision makers in choosing a house
type and participating in the house buying process.

1.5 RESEARCH METHODOLOGY

This research uses a mixture of qualitative and quantitative

research methods, the thesis is designed according to a three-
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stage process, and quantitatively performs EFA, CFA and second

order SEM linear models.

1.6 RESEARCH CONTRIBUTION

This study synthesizes the basic theory of consumer

experience, multiple goals and supplier selection that can be
referenced and continues to guide research to expand related
fields. The conclusion from the research model is that consumer
experience affects multiple goals, choosing investors from
homebuyers. The results of this study can help guide decisions
about marketing and business activities in housing company.

CHAPTER 2: THEORETICAL BACKGROUND

AND RESEARCH MODEL

2.1 THEORETICAL BACKGROUND

- The theoretical framework of consumer experience is
generalized including 4 stages of experience by Cova & Caru
(2007, p.5); pre-consumer experience, buying experience, core
consuming experience, and remembered experience. This theory
caters to the experiential component of total consumption in the
thesis's model.
- The theory of multiple-goal-based choice behavior is
developed by Swait, Argo & Li (2018) called MGBCM
(multiple-goal-based choice model), this theory is a model
expressing choice behavior select based on multiple goals within
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a common goal. Regarding the content of the MGBCM model

based on a decision, there are two streams of behavior leading to
target selection: First, MGBCM starts with product
knowledge/experience, thereby forming the heterogeneity
between goals and consumers must adapt by forming priority
weights for each type of goal. MGBCM is the basis for
interpreting the relationship between experience and multiple
goals.
- The MCDM (multiple-criteria-decision-making) theory
describes decision-making behavior based on multiple criteria,
applied to individual and organizational behavior, inherited by
Dyer et al., (1992). The MCDM connotation defines that a
decision maker will choose in one or more criteria that he or she
evaluates based on attributes. This theory explains the supplier
selection criteria in the research model.
2.2 RESEARCH CONCEPT AND DEFINITION
2.2.1 Dimensions of consumer experience

The dimensions of consumer experience are known to be

the multi-faceted interaction between consumers and businesses
(or certain subjects), this dimension covers all 4 stages of buying
processes such as Cova & Caru (2007, p. .5) pointed out. A
review of published studies found that the experience
components include: Cognitive experience, utility experience,
benefic experience, environmental experience, convenience
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experience, trust experience, recommended experience

stimulation, hedonic experience, accessibility experience. The
most widely applied experience is in the service sector such as:
hotels, restaurants, health care, entertainment, tourism, retail,
online retail and consumer food products. Experiential research
on homebuyers has not yet been established and most of the
research only revolves around home buying behavior, forgetting
about the experiential components in the perception of
homebuyers.

2.2.2 Multiple goals

Multiple goals is a set of different types of goals and

attributes that ensure a deliberate and satisfying action in decision
making (Kruglanski et al., 2002). Component goals exist in unity
with the common goal, review previous studies on types of goals
in consumption behavior on the following specific types of goals:
Consumption goals, emotional goals, utility goals, learning goals,
accessibility goals, environmental goals, social goals, and
personal value goals. Multiple goals research in the fields of food,
consumer/beverage, shopping/retail/online retail, luxury goods,
public services (health/education/ electricity/insurance),
auto/durable goods, travel/accommodation and personal care.
The housing sector mainly studies home ownership and housing
benefits.
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2.2.3 Supplier selection

Lựa chọn nhà cung cấp nghiên cứu dựa trên các tiêu chí
lựa chọn trong các quyết định theo cơ sở lý thuyết MCDM, trọng
tâm nghiên cứu về tiêu chí lựa chọn và các ưu tiên trong các quyết
định tiêu dùng. Nội hàm tiêu chí chọn nhà cung cấp xoay quanh
chất lượng, dịch vụ và quản lý. Lựa chọn nhà cung cấp thực
nghiệm trong lĩnh vực công nghiệp mua hàng, dịch vụ cung cấp
cho cá nhân như chọn trường học, bệnh viện, ngân hàng, y tế, bảo
hiểm, năng lượng và giao thông công cộng. Trong lĩnh vực nhà ở
nghiên cứu chọn nhà cung cấp chủ yếu nghiên cứu vai trò trung
gian môi giới, nhà thầu xây dựng.

2.3 RESEARCH GAP

Becker & Jaakkola (2020) in their review and research

orientation on consumer experience and customer experience
pointed out four research premises. In which, the first premise to
be studied is that customer experience includes the spontaneous
reactions and reactions of customers to stimuli related to the
delivery throughout the customer experience journey. Schmitt &
Zaranotello (2013) in their review suggested that further studies
answer how touchpoints in the experience process affect
consumption behavior, especially in the context of specific
experiences. For the relationship of influence of experience on
multiple goals was given by Swait et al., (2018) in the theoretical
model MGBCM; Experience is the basis for forming priorities,
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trade-offs, and weighting goal types. From the above basis,

finding out which goal in a set of multiple goals in purchasing
decisions of a particular business/product is necessary when
experimenting in the home buying process of Koklic & Vida (
2009) research released.

2.4 RESEARCH HYPOTHESIS AND MODEL

- Hypothesis (H1): The consumer experience dimensions
has a positive (+) effect on supplier choice when buying a house.
- Hypothesis 2 (H2): The multiple goals of buyers
positively influences (+) supplier selection.
- Hypothesis 3 (H3): The consumer experience
dimensions has a positive (+) effect on multiple goals when
buying a house
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Tiêu dùng

Cảm nhận

Học hỏi Đa mục Lựa chọn

tiêu H2+
nhà cung cấp

Quy trình

H3+ H1 +
Giá trị cá nhân

Trải nghiệm
Môi trường

người tiêu dùng

Xã hội

Môi Trải Trải Trải Trải Trải Trải

trường nghiệm nghiệm nghiệm nghiệm nghiệm nghiệm
trải lợi ích thuận tiếp cận hữu khuyến tin
nghiệm tiện dụng khích tưởng

Figure 2.4: Research model proposition

Source: Suggestion of author

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CHAPTER 3: RESEARCH METHODOLOGY

3.1 RESEARCH DESIGN

Bối
cảnh
nghiên Phỏng
Tổng Tổng Điều chỉnh
cứu vấn
hợp cơ hợp thang đo
chuyên
Mục sở lý than
sâu
tiêu thuyết g đo
nghiên
cứu
Hình
thành
thang đo

Nghiên
Cronbach Loại các biến có hệ số tương quan biến – tổng nhỏ 0.30
cứu định
lượng sơ alpha
(Kiểm tra hệ số Cronbach alpha)
bộ (n
=124)

Thang đo
chính thức

Nghiên cứu chính

thức (n=805)

Cronbach alpha CFA SEM Kết luận và Hàm ý

& EFA (second quản trị
order)

Figure 3.1: Process of the research

Source: Suggestion of author

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3.2 QUALITATIVE METHOD

In-depth interviews (IDIs) are used to “explore the
understanding of an issue through talking to people about their
perspectives” (Burgess, 2003). The interviewees are the closest
people who directly buy (or are choosing to buy) a house, living
in Ho Chi Minh City, the product they buy is a commercial
apartment. The sample size at the saturation expectation is 12 (4
salemans and 8 homebuyers) to conduct this study.
3.3 QUANTITATIVE METHOD
Exploratory factor analysis (EFA - exploratory factor
analysis) helps to correct the measurement and evaluate the
validity of the measurements. Confirmatory factor analysis
(CFA) was used at the official research stage to close the scale
with a number of valid observations of 805. Model fit analysis
(Chi-square statistic, GFI, AGFI, RMSEA, NFI, TLI). Finally,
the hypothesis was tested by second-order SEM analysis,
Boostrap N=2000 test.

3.4 DEVELOPMENT OF MEASUREMENT SCALE

The draft scale is preliminarily studied with the size n =
124, this scale will be adjusted through Cronbach's Alpha >= 0.6
and the total correlation coefficient (Item - Total Correlation) >
0.3. The results of the consumer experience concept scale include
5 observed variables (20 items), the multiple goals has 5 observed
variables (22 items), and supplier selection has 6 items. In the
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preliminary research results, there are 4 concepts that are not

included in the official research, the concept of benefit
experience (BEE) and trust experience (TRE), process goals
(PRG), and social goals (SOG) did not reach the reliability index.
The reasons are specific to the housing industry in Vietnam and
have been discussed in the preliminary results of the study,
CHAPTER 4: DATA ANALYSIS & DISCUSSION
4.1 SAMPLE CHARACTERISTIC
The research sample is homebuyers living in Ho Chi Minh
City, commercial apartment buildings in districts in Ho Chi Minh
City. The occupational structure is the group of employees from
enterprises, self-employed, and other professional occupations,
accounting for the majority of the respondents. This study
approached 1095 observations with a valid response rate of 805
samples. The observed samples are housing projects of reputable
investors, many of which have received the Vietnam Real Estate
Developer Award.

4.2 CREDIBILITY ANALYSIS

After conducting the preliminary research, the official
research will have 11 factors with 48 measurement scales that
will be analyzed by Cronbach's Alpha at sample size 805. The
remaining consumer experience scale is 5 factors (with 20 items),
the multiple goals have 5 factors (20 items) and supplier selection
has 5 items to measurement.
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4.3 EXPLORATORY FACTOR ANALYSIS (EFA)

EFA exploratory factor analysis by Principal Axis
Factoring with Promax rotation, standard on |Factor Loading|
Each Item >=0.5. total variance extracted >=50% KMO>=0.5,
Bartlett test has statistical significance (Sig<0.05). The resulting
consumer experience, multiple goals, and supplier selection
concepts keep the components of the formal analysis intact.
4.4 CONFIRMATORY FACTORY ANALYSIS (CFA)
Confirmatory factor analysis CFA to determine the fit of
the model with market data, the criteria used include Chi-squared
(χ 2) with P-value > 5%, TLI (according to Tucker & Co. Lewis),
GFI (Goodnes Of Fit), CFI (Comparative Fit Index). Indicators
TLI, GFI, CFI have values from 0.8. In addition, in the CFA
analysis additional assessments should be performed;
unidirectionality, reliability, convergent validity, discriminant
validity (Steenkamp & Van Trijp, 1991, Nguyen Dinh Tho,
2011).

As a result, there are 11 concepts in the final measurement

model including: Consumer experience (incentive experience
(ICE), environment experience (EXE), convenience experience
(CNE), utility experience (UTE), accessibility experience
(ACE)), Multi-goal (environmental goal (EVG), abstract goal
(ABG), learning goal (EVG), consumption goal (COG) , emotion
goal (EOG) and Supplier Selection (SPS), The results of the CFA
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analysis of the critical model (Figure 4.6) show that the model
fits the market data, values of the scales are really different in the
model; specifically: Chi – squared = 2537,785; df = 890; P =
0.000; GFI = 0.870; TLI = 0.877; CFI = 0.890; RMSEA = 0.048.

Figure 4.6: Critical measurement model CFA results

Source: Research results of the author

4.5 STRUCTURAL EQUATATION MODELING (SEM)

The results of the analysis of research concepts are
statistically significant at the 95% confidence level. The
estimated results of the research model show that the models have
921 degrees of freedom, Chi-squared = 3351,417, GFI = 0.837,
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TLI = 0.825, CFI = 0.837, RMSEA = 0.057, RMR = 0.028, ECVI

= 4,452, AIC = 3579,417 and CAIC = 4228,173. Thus, it can be
concluded that the model is compatible with market data. The
results of the effects of the hypothetical concepts are statistically
significant (p < 0.05) as shown in Figure 4.7.

SPS

MG CE

Figure 4.7: SEM second order research model

Source: Research results of the author

Testing the research model by SEM of first order with 11

research concepts and 3 hypotheses about the relationship. The
results of the SEM linear structural analysis of the scale showed
that the scales all reached the appropriate level with the data
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based on the criteria of convergent value, discriminant value,

aggregate reliability, and method. wrong quote. Therefore, the
hypotheses proposed in the model will not change. The estimated
results of the normalized research model show that the models
have 921 degrees of freedom, Chi-squared = 2728,220, GFI =
0.863, TLI = 0.870, CFI = 0.879. RMSEA = 0.049. Thus, it can
be concluded that the model is compatible with market data. The
results of the effects of the hypothetical concepts are statistically
significant (p < 0.05) as shown in Figure 4.9.

Hình 4.9: Structural Equation Modeling (SEM)-Normalization

Source: Research results of the author

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4.6 BOOTSTRAP TESTING

According to Byrne (2013), Bootstrap is used to assess the
reliability of the quantities in the model study. In many of the
currently registered studies, N = <1000 is commonly used in
studies. Therefore, this study proposes N = 2000 and the results
show that although the bias is very small, it can be concluded that
the estimates in the model can be trusted.

4.7 THẢO LUẬN KẾT QUẢ PHÂN TÍCH DỮ LIỆU

The results of the research model accept 3 hypotheses with

the results of second-order SEM analysis with a P value =0,
concluding that the model fully answers the research goal of the
consumer experience that determines the multiple goals and
supplier selection. The result has consistent with the published
research model such as Walls et al., (2011), Walls (2013) and
related works. Besides, the model is also consistent with the
multiple golas choice theory framework of Swait et al., (2018)
when the consumer experience hypothesis has an impact on
target selection, similar to the meaning of multiple goals and the
firm's product choice decision criteria. The consumer experience
dimensions that determines the supplier selection criteria also
expands the form of Kim et al., (2011) and confirms the
theoretical view of Lusch & Vargo (2008) on integration creating
experience, the experiential dimension is goal-oriented as studied
by Zarantonello & Schmitt (2010).
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CHƯƠNG 5: CONCLUSION AND RESEARCH

IMPLICATIONS
5.1 RESEARCH SUMMARY
The results of the research model analysis confirm that
there is a consumer experience impact on the multiple goals and
consumer experience that determines supplier selection in terms
of theory and empirical application in the home market. The first
result is the model that confirms the premise of Becker &
Jaakkola (2020) about the experience component affecting
supplier selection in the housing context. Secondly, this model
contributes to the explanation of the MGBCM theoretical
framework of Swait et al., (2019) about many consumer
experience dimensions that affect goal pursuit and goal
attainment.
5.2 RESEARCH CONTRIBUTION
5.2.1 Theoretical contribucation
Firstly, this study concludes that the experience
components such as accessibility experience (ACE), convenience
(CNE), incentive experience (ICE) and ultility experience (UTE)
are the decisive factors. Determine how businesses create and
deliver relationships with customers. Second, this study
contributes to the rationale that consumer experience determines
multiple goals in the buying process. The research results show
that consumption goal (COG), emotion goal (EOG), abstract goal
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(ABG) and learning goal (LEG) are formed by experience

interactions. Third, this study finds that multiple goals are based
on self-meaning that each consumer makes decisions in the
buying situation and is triggered by experience in the
consumption process. Fourth, the research results that show that
the experience environment affects the product's environmental
goal is a significant contribution to this view. Fifth, this study
concludes that the supplier experience of products and services
to consumers is driven by experiences such as incentive
experience, utility experience, and convenience experience.
Finally, the multiple goals set decides to choose a supplier, the
analysis results show that the emotion goal has a major influence
on the supplier selection, the studies of the perception target
associated with the choice of supplier and the brand attributes
associated with the individual.
5.2.2 Methodology contribution
The research method contributes to the development and
supplementation of concept scales (items) in the housing market
for the consumer experience dimensions, multiple goals home
buying and house developer selection.
5.2.3 Housing market contribution
This research paper contributes an approach to research on
buyer experience in the housing context in Vietnam, adding a
scientific basis and practical recommendations when home
buyers are increasingly interested in the aspect of their
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experience, goals and supplier selection concerns in the housing

market. This conclusion also shows that practice in application
management when creating a positive experience for homebuyers
will have important implications for purchasing decisions.
Suppliers need to hit the right home-buying goals in replacement
of the fact that home is just a place to live or accumulate assets.
In experience design for the home buying process, this research
proposes 4 components of the homebuyer's experience;
environmental experience, convenience experience, accessibility
experience and incentive experience are the results that have a
decisive influence on the home buying process. In addition, this
research adds new discoveries about homebuyer goals, the results
shows that homebuyer goals are expressed through: consumption
goals, perceived goals; learning goals and personal value goals.
Finally, the results of this research paper explain that investors
create convenient experience (providing information,
transactions, consulting and employee interaction), accessible
experience (product information, communication, project visits,
customer care) and incentive experience (discount prices,
financial aid, promotions), which are important values in
choosing a supplier when buying a home.

5.3 IMPLICATIONS FOR HOUSE DEVELOPER

5.3.1 Implication for government
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For government and real estate associations, the results of

this study indicate that it is necessary to pay attention to the home
buyer experience in order to encourage and build mechanisms to
influence businesses and the market. Supplier selection criteria
can be referenced in supplier constraints as well as alerting
customers to choose the right supplier. As a Real Estate
Association, current policy recommendations should also include
the perspective of homebuyers' experiences and goals in order to
encourage sustainable market development. In addition, in the
evaluation criteria for awards, real estate developers should
include the home buyer's experience criteria in the assessment to
increase transparency and honor businesses with a positive
experience with buyers.
5.3.2 Impication for house developer – based on consumer
experience and multiple goals
The first is that the customer chooses the investor based on
the commitments, so it is necessary to put the commitments into
a legally valid document. Secondly, customers care about the
reputation of the house developer by evaluating the experience of
the projects, consulting the resident forums and considering the
investor is evaluated from the prestigious awards. Third, the
house developer should make a good impression on the first
impression of home buyers, homebuyer is a comprehensive
experience at first when just interested and inquired. Finally,
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building a developer brand should be taken care of by creating

more experiences for customers.
5.3.3 Sales and Marketing implication – based on consumer
experience and multiple goals
The first is that the investor needs to design a consumer
experience and the perceived experience when offering a house
for sale will affect the important goals and needs of the buyer.
The second is the program to create experiences from the
homeowner. House developer needs to create a convenient
experience and encouraging experience. Thirdly, in selling
advice of house developer or using media images, it is necessary
to see the personal value goal (ABG) of home buyers as an
important motivation. Fourth, research results show that
considering the economic benefits of the home is a major
determinant of the buying process. Fifth, investors should focus
on building a housing product experience environment that will
affect the goals of homebuyers. The sixth is that marketing-sales
managers should design integrated communication solutions
5.3.4 Impication for house developer – based on multiple
goals and supplier selection
For home buyer, marketing and sales solution needs to
consider the goals of interest to provide and deliver a specific
experience for homebuyers. Sales solutions are often divided into
installments with the number of houses sold in parts. Home
buyers can consider many times before deciding to buy.
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Therefore, through many contacts with buyers, both assessing

their goals and reviewing them, they have fully experienced the
housing project to have specific sales solutions for customers.

5.4 HẠN CHẾ VÀ ĐỀ XUẤT HƯỚNG NGHIÊN CỨU

Limitations on the use of multiple goals and consumer

experience is based by Kim at al., (2011) and Carlson et al.,
(2008) in non-housing areas. In addition, the model only focuses
on commercial apartments, concepts that may have to consider
the difference between housing types are serviced houses for
rent, townhouses, villas/villas. The survey subjects were not able
to filter out buying behavior for investment, rental and resale with
those who bought to live, limited in behavior for first-time buyers
and repeat buyers, so it should be considered in future studies.
Research is necessary to consider expanding the model in big
cities like Hanoi.

The next research direction of the research model should

explore experience designs from the business. Based on that, the
conclusion of positive/negative consumer experience will also
contribute to clarifying the applied and academic value. From
this study, it was found that it is necessary to build a set of home-
buyer indexes, a set of supplier evaluation criteria to help
customers and partners have a comprehensive view in the
housing field. In addition, there should be a study of the
experience relationship and the role of the real estate service
 24

organization/broker. The role of the real estate agent (broker/real

estate agent) influences the homebuyer's experience and goals.
Finally, the theory of CCT also needs to be considered a lot in the
research for the Vietnamese market. Cultural factors in behavior
are being studied towards ethnic discrimination in markets.
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LIST OF RESEARCH PAPER RELARED TO

THE AUTHOR’S THESIS

Huynh Phuoc Nghia. (2020). Factors impact supplier selection in

the HoChiMinh housing market. Journal of Economy &
Forecast review.

Huynh Phuoc Nghia, Phạm Quoc Quan. (2018). Factors impact

perceived quality and percived price of homebuyer in the
HoChiMinh housing market. Journal of Economy &
Forecast review.

Huynh Phuoc Nghia, Phạm Quốc Quân. (2017). Analyzing the

relationship between sale promotion and asking price in
the housing marketing in HoChiMinh and Hanoi city.
Journal of Economy & Forecast review.

Huynh Phuoc Nghia. (2016). Solutions to develop Vietnam real

estate market in the gobal integration process. Journal of
Economy & Forecast review.

Huynh Phuoc Nghia. (2016). TPP and its implication for

Vietnam’s real estate market development. Conferrence of
ICYREB UEH.