1 AIT Asian Institute of Technology

How to improve customer loyalty in a highly competitive market the case of Donamay Company in Dongnai, Vietnam

AuthorNguyen Thi Bich Lien
NoteA project study submitted in partial fulfillment of the requirements for the degree of Master of Business Administration (Executive) in International Business – Management of Technology (VN), School of Management
PublisherAsian Institute of Technology
AbstractCustomer service has become very important in the world wide competition and plays an important role in the satisfaction of the customers of a company. In order to improve Donamay’s performance and to move it to 'higher levels' in the garment industry, Donamay considers customer satisfaction and retaining retain customers’ loyalty the key factors to achieve the above objectives. Thus, the challenge of the Board of Directors of Donamay has been and still is how to retain the loyalty of customers and to develop a new customer service program. The author of this research – the Deputy Director of Donamay - aims to understand how current customers evaluate the performance of Donamay and, based on these findings, find suitable solutions. This research asked customers for their opinions and comments by conducting a customer satisfaction survey and carrying out in-depth interviews. The data collection covered communication with Donamay, its production and products, problem handling, technical assistance, delivery and customer’s service. There are some gaps between customer’s expectation and actually performance of Donamay. These results were sent to the top management of Donamay for discussion with the researcher. The main problems, which this research revealed, are: Communication of Donamay is poor compared to customer expectations; production and quality control of Donamay are far from customers' standards. After this gap analysis we used the well-known method - Porter Five Forces - to 'gauge' Donamay's standing in the textile industry. The results show two main issues: (i) Donamay is facing fierce competition from competitors who produce the same product for the same target customers;(ii)the level of Donamay's performance is lower than that of its competitors in terms of communication, prices, products, quality, responsibilities and customer services. Porter’s approach was combined into a SWOT analysis and based in these overall findings, the following major recommendations are put forward to improve service provision and retain customer loyalty: here is a need for a proper marketing strategy to gain better competitive advantages. The customer service should focus by improving on communication; coordination, technical skills and responsibilities in order to serve customers better and enhance their loyalty. Working procedures have to be strengthened to outperform internal work and customer service than is presently the case.
Year2013
TypeProject
SchoolSchool of Management (SOM)
DepartmentOther Field of Studies (No Department)
Chairperson(s)Zimmermann, Willi
Examination Committee(s)Badir, Yousre;Winai Wongsurawat
Scholarship Donor(s)Donamay Company


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