Rationale of the study
Housing is a fundamental need for all social classes, playing a crucial role in enhancing living standards and ensuring social stability, which in turn supports national development Since 2016, Vietnam's real estate market has experienced significant growth, with affordable land and housing transactions in both urban and suburban areas Housing prices have surged dramatically over the past year, with real estate inventories decreasing compared to 2019, and a notable increase in business activities by 30-50% at the start of 2021 Prices for land and housing have risen by 40-60%, with some projects seeing increases of up to 100% Vietnam is also prioritizing housing development for workers in major industrial parks and is shifting focus towards tourism-related real estate, introducing new projects in prime locations As the market becomes increasingly competitive, it is vital for real estate businesses to understand customer preferences and the factors influencing home-buying decisions Therefore, conducting research to identify the determinants of housing choices in newly developed urban areas is essential to effectively meet the diverse needs of various demographic groups.
Vietnam Tataci Joint Stock Company operates in construction, architectural design, and real estate business Since late 2020, the housing market in Vietnam has faced a significant decline in purchasing power, particularly affecting residential areas associated with the company, largely due to the COVID-19 pandemic Housing serves not only as a residence but also as a sanctuary, emphasizing its importance in consumers' lives Therefore, it is essential to investigate the factors influencing customer decisions in order to provide management insights that enhance housing purchase efficiency This leads to the research topic, "Factors Influencing Consumer Buying Intention for Housing at Vietnam Tataci Joint Stock Company."
Aims of the study
Identify personal value factors affecting the decision to buy a house of customers in Tataci., JSC.
Determine the impact of each value factor affecting the decision to buy a house of customers in Tataci., JSC.
Suggest some implications drawn from the research results to increase policies for managers to attract more customers and increase revenue for businesses.
The scope of the study
This thesis examines the personal value factors influencing home-buying decisions among customers of Tataci, JSC, by analyzing accounting data collected over three years, specifically from 2018 to 2020.
Methods of the study
The study employs a mixed-methods approach, integrating qualitative and quantitative research to explore the factors influencing home-buying decisions Qualitative research is conducted through group discussions and expert interviews, including one marketing lecturer and four knowledgeable real estate managers, to refine the research model and adapt the preliminary scale based on established studies The findings support the inclusion of the company's reputation in the research model Subsequently, 20 customers are interviewed using convenience sampling to validate and adjust the preliminary questionnaire, ensuring its reliability for official research Quantitative analysis is then utilized to quantify the relationships between factors, employing a 5-point Likert scale to measure observed variables effectively.
Organization of the study
The thesis includes the following contents:
LITERATURE REVIEW
Personal value
Value is a fundamental principle that encompasses self-selection, appreciation, and action Self-selection emphasizes the importance of freedom in choosing from a variety of options, ensuring that assessments are fair and informed When individuals are denied the right to choose, the evaluation becomes biased Appreciation involves recognizing and praising individuals for their successful performance, highlighting the emotional aspect of value Action reflects the translation of thoughts into behavior, emphasizing that true value is demonstrated through consistent actions rather than mere words Regular assessments are essential, as authentic value is not fleeting but requires ongoing recognition and reinforcement.
Personal values, as defined by Rokeach (1968, 1973), are beliefs held by individuals or societies that dictate appropriate behavior, particularly in contrast to actions that violate societal ethical codes.
Individual values significantly influence human behavior and consumption patterns, serving as a vital tool for market segmentation Research indicates that understanding personal values can elucidate complex behaviors, such as brand selection within specific product categories For marketers, it is crucial to tap into the cultural connections associated with a brand and effectively align them with the personal values of their target audience.
Personal values are essential to an individual's way of life, serving as a framework for determining right from wrong and what holds significance Schwarts (1994) defines personal values as "desirable goals that become important," guiding individuals on how to live Anana and Nique (2007) emphasize that personal values establish the standards and rules that shape one’s behavior towards others According to Schiffman and Kanuk (1997), personal values comprise a set of beliefs characterized by five distinct traits.
Relatively few in the crowd
To guide the implementation of culturally appropriate behaviors
Prolonged or difficult to change
Do not be squeezed into a particular situation, and
Widely accepted by social members
Personal values serve as the foundation for an individual's perceptions and attitudes towards others, influencing how they evaluate and compare themselves to others (Kamakura and Novak, 1992) These inner beliefs shape expectations in life and act as a framework for conflict resolution, decision-making, and regulating personal and social relationships (Lages and Fernandes, 2005) Zeithaml (1988) highlights that the consumer's perception during the consumption process is decentralized, leading to a diminished focus on product or service characteristics The quality perception begins when individuals align their experiences with their initial expectations Successful alignment prompts ongoing comparisons of products and services based on perceived benefits and necessary sacrifices Ultimately, purchasing decisions reflect individual values, making it crucial to measure these personal values to understand the reasons behind product or service selection.
Values are long-term, stable beliefs that serve as psychological symbols of need, guiding individuals in conflict resolution, decision-making, and relationship management within society According to Rokeach (1973), values can be categorized into object values, which pertain to the worth of items through comparison, and individual values, which reflect personal ownership and beliefs A deeper comprehension of individual values enhances the understanding of object values (Zeithaml, 1988; Feather, 1995) This study emphasizes individual values, highlighting their significant influence on consumer behavior (Beatty et al., 1985) Recognizing and engaging with consumers' values is crucial for effective marketing strategies (Durgee, 1996), as values shape beliefs, attitudes, and behaviors (Posner et al., 1987; Madrigal and Kahle, 1994; Carlson, 2000), ultimately reflected in their choices of products and services (Kahle, 1988).
At the same time as their research, the authors have also given the impact of individual value on purchasing decisions.
Impact of personal value to the purchase decision
Values are likely to provide strong explanations of human behavior because they undertake as standards or ethical standards
Predict consumer behavior Henry, 1976, Vinson and
Munson, 1976, Bekker and Connor, 1981, Munson and McIntyre, 1979, Schwartz and Bilsky, 1987.
As a main theoretical foundation for psychological research on consumer value systems
Is "abstract ideal" that represents a person's
Understanding consumer perception is essential, as it involves key factors that influence behavior By recognizing and addressing the personal values of consumers, businesses can gain deeper insights into their preferences and actions.
A powerful tool for understanding and achieving consumption habits, as they can criticize and explain consumer attitudes and behaviors
Individual values are derived from broader social values and represent a person's unique choices and behaviors These values reflect how individuals navigate and differentiate themselves from the various value systems that influence their actions and decisions.
Values are the moral and ethical principles shaped by cultural influences, guiding individuals in developing behaviors, attitudes, and beliefs that align with societal norms.
The measurement of individual values is influenced by the chosen model, as outlined by Agle and Caldwell (1999) This model prioritizes a specific dosing approach based on a set of individual values, which in turn clarifies an individual's behavior towards a particular issue Notable frameworks in this context include the Rokeach Value Scale (RVS) from 1973 and the Schwartz and Bilsky catalogs from 1990 Additionally, from a consumer analysis viewpoint, the Vinson et al chain-ending model (1977), Kahle's List of Values (LOV) from 1983, and Mitchell's values and lifestyle framework are also significant.
The classification by Vals (1983) and the value list by Durgee (1996) offer a straightforward approach to problem analysis However, challenges arise in selecting the appropriate scale and accurately assessing outcomes, particularly if the evaluator imposes a predetermined set of values that may not fully align with the specific issues at hand.
Scholars have explored the concept of personal values, identifying various components that contribute to individual values The table below illustrates the differing perspectives of researchers regarding the elements that make up personal values.
The components of the personal value are used to assess the impact on the decision to buy.
1.1.1 The theory of comfortable life values
Individuals seek to enhance their lives through education and self-improvement, aiming for greater comfort and freedom With the right resources and skills, they can enjoy a sense of liberation and confidence in their relationships with others.
Rokeach (1973) suggests that products enhancing comfort significantly contribute to a user's overall quality of life By fostering a greater sense of comfort, freedom, and confidence in communication, these products allow users to fully appreciate their value Ultimately, such products can lead to an improved and more comfortable lifestyle for their users.
The theory of comfortable life values explores how personal values influence consumer purchasing decisions By fostering trust and value, these comfortable life values play a crucial role in shaping customers' choices when buying products.
From there, it is possible to hypothesized H1 as follows: The higher the value of a comfortable life, the more it increases the shopping decisions of customers.
1.1.2 The theory of the value of peaceful life
Consumer procurement decisions
According to Philip Kotler, the process of passing consumer procurement decisions takes place through the following stages
The procurement process initiates when consumers recognize their needs, which, as noted by Philip Kotler, emerge from a combination of six internal and six external activities.
Internal stimulation encompasses fundamental human needs such as hunger, thirst, love, and admiration For instance, when an individual experiences hunger, the desire to eat arises; similarly, thirst prompts the need for drinking, and feeling hot may lead to the urge to swim.
External stimuli, including time and environmental changes, significantly influence consumer behavior Factors such as individual characteristics, cultural influences, and social dynamics play a crucial role in shaping preferences Additionally, marketing strategies employed by professionals can effectively stimulate consumer interest and drive purchasing decisions.
At this stage, marketers must anticipate consumer needs, understanding what drives these needs and how consumers prefer to fulfill them They should consider the specific products and characteristics that will effectively satisfy these demands.
Philip Kotler emphasizes that strong demand creates a motive for consumers to seek information about a product This information search can occur internally or externally; however, if the internal search yields satisfactory results, consumers may forgo seeking external information.
Information search Option evaluation Need recognition Purchase decision
Diagram 0.1 Diagram 1.1: Model of stages of the process through procurement decisions
Consumers rely on various information sources to learn about products, which can differ based on the specific product and buyer characteristics These sources can be categorized into four distinct groups.
- Source of personal information: information from family, friends, acquaintances, neighbors.
- Source of commercial information: information received from advertisements, sellers, written on the packaging, at fairs and exhibitions.
- Public information sources: objective information on the mass media, functional agencies of the government, organizations.
- Source of experience information: through direct learning such as contact, trial.
Different sources of information play unique roles in influencing consumer shopping decisions Commercial information sources primarily serve to inform, while personal information sources provide affirmation or evaluation The quantity and influence of these information sources can vary based on the product type and the buyer's characteristics.
Before making a purchase, consumers evaluate the information they gather and assess the value of competing brands This assessment typically follows a structured process guided by specific principles and a logical order.
Consumers evaluate products based on a range of attributes, each linked to a specific function that enhances satisfaction These product characteristics are reflected in various aspects, highlighting their usefulness and the benefits they offer to consumers.
- Technical characteristics: physics: formula, composition, color, size, gauge
- Characteristics of use: duration of use, durability, specificity
- Psychological characteristics: beauty, elegance, personality, comfort, pride in ownership
- Combined characteristics: price, brand, packaging
Second, consumers tend to categorize attributes according to varying degrees of importance based on their needs to be satisfied
Consumers develop beliefs about brands that influence their product evaluations, often choosing those that maximize their satisfaction with desired attributes This assessment is shaped by psychological factors, economic conditions, and the specific shopping context Marketers must comprehend how consumers evaluate brands to adapt and enhance product features that align with consumer preferences, highlighting the advantages of their offerings and addressing any misconceptions about important product characteristics.
After evaluating their options, consumers develop a shopping intention for the brand that scores the highest Philip Kotler identifies two key factors that can influence consumers' shopping decisions before they finalize their choice.
The attitudes of relatives, friends, and colleagues play a crucial role in influencing consumer shopping decisions Whether these individuals offer support or express opposition can significantly impact a consumer's intention to make a purchase or abandon it altogether.
Unexpected situational factors significantly influence consumer purchasing intentions Typically, consumers base their buying decisions on expected income, pricing, and anticipated benefits However, changes in circumstances—such as job loss, rising prices, or products failing to meet expectations—can disrupt these foundations, leading consumers to alter or even abandon their shopping intentions.
To mitigate perceived risks in their purchasing decisions, consumers often seek information from friends, favor well-known brands with warranties, and rely on trusted sources It is essential for marketers to comprehend the factors that influence consumer risk awareness, as this understanding can empower them to provide valuable information that helps consumers feel more secure, ultimately enhancing the likelihood of purchasing their products and services.
Diagram 1.2: Steps to evaluate options to shopping decisions
Diagram 0.2: Steps to evaluate options to shopping decisions
After making a purchase, consumers often experience varying levels of satisfaction or dissatisfaction with the product, which influences their subsequent actions and reactions regarding its usage.
The link between personal value and consumer procurement decisions
Previous studies, including those by Carman (1977), Williams (1979), Kropp, Lavack, and Holden (1999), and Doran (2009), indicate that personal values significantly impact consumer shopping decisions Consumer behavior is often viewed as a pathway to achieving a desired outcome or specific value, as highlighted in research by Gutman (1982), Reynolds and Gutman (1988), and Michon and Chebat (2004).
Customer perception of value is a complex interplay between price and quality, influenced by various factors such as price perception, quality, benefits, and sacrifices While researchers have explored and refined this concept, Zeithaml's definition remains a significant contribution to understanding how these elements shape consumer value perception.
Value building awareness in customer research is centered on the consumer's assessment of a product based on perceived benefits and sacrifices (1988, p 13) This definition emphasizes that value extends beyond just functional aspects like quality and price, incorporating social, emotional, and knowledge components (Sheth et al., 1991) Customer satisfaction reflects the value received during exchanges (Woodruff and Gardial, 1996), highlighting the importance for managers to understand customer value before measuring and monitoring satisfaction Ultimately, value is perceived, while satisfaction influences consumer behavior.
Some theoretical models related to factors in which the decision to buy
1.4.1 Theory of Reasoned Action ( TRA)
The Theory of Reasoned Action (TRA), developed by Ajzen and Fishbein in 1975, serves as a foundational framework in socio-psychology and consumer behavior studies (Puschel et al., 2010) This theory posits that behavioral intentions are influenced by two primary factors: individual attitudes and subjective norms Individual attitudes reflect a consumer's positive or negative beliefs about a product's attributes, while subjective norms are shaped by personal beliefs and motivations The relationships within the TRA model are illustrated in Diagram 1.3.
Diagram 0.3: Model of TRA Diagram 1.3: Model of TRA
TRA comes from the assumption that the behaviors belong to reason, i.e those that the conscious individual came up with first or could control (Ajzen and Fishbein,
1975) However, some authors are interested in situations where individuals cannot fully control their behavior, which is the main reason why some authors criticize this model (Hansen and associates, 2004).
The TAM (Technology Acceptance Model) is considered a special case of the TRA (Hernandez associates, 2009) reasonable action theory model Proposed by Davis,
D Fred, and Arbor, Ann, (1989), TAM predicts the use of information technology and seeks to explain the user's acceptance of the use of information technology. Intended behavior in the (TAM) is influenced by external factors on internal factors such as the user's beliefs, attitudes and opinions and between the user's attitudes, opinions and behaviors that have a cause and effect relationship with each other.
The Technology Acceptance Model (TAM) posits that the intention to adopt new technology directly influences actual user behavior Two critical factors impacting users' attitudes toward new technology are Perceived Ease of Use (PEOU) and Perceived Usefulness (PU) A technology application that is easy to use enhances user control, minimizes the learning curve, and ultimately boosts user performance (Davis, 1989).
Diagram 0.4: Technology Acceptance Model (TAM 1989
While the Technology Acceptance Model (TAM) and the Theory of Reasoned Action (TRA) are effective in predicting intentional behavior, they have limitations, particularly in scenarios involving a single behavior The TRA model can be adapted to address situations that involve multiple behaviors, as noted by Sheppard, Hartwick, and Warshaw (1988).
1.4.3 Theory of Planned Behaviour (TPB)
Ajzen's Theory of Planned Behavior (1991) enhances the Theory of Reasoned Action (TRA) developed by Ajzen and Fishbein in 1975, addressing the limitations of TRA in predicting consumer behavior when individuals lack full control over their actions This evolution, highlighted by Hansen and colleagues in 2004, led to the creation of the TPB to effectively tackle these challenges.
Figure 1.5: Theory of Planned Behavior (TPB)
Ajzen builds the TPB model by adding a behavioral control awareness factor to the TRA model Behavioral control perception factors impact the perception factor of
Subjective norm Behavioural intention Behaviour
The Theory of Planned Behavior (TPB), developed by Ajzen in 1991, emphasizes the significance of understanding clients' intentions rather than solely their actual behaviors According to TPB, customers' true behaviors are shaped by their intentions and their perceptions of behavioral control Additionally, a customer's intention is influenced by three key factors: their attitudes, subjective norms, and perceptions of control over their behavior.
However, like TAM, a lot of authors have added new variables to this model to better reflect the characteristics of consumer behavior (Cheung and associates,
In their 2010 study, Lee and Ngoc integrated trust into the Theory of Planned Behavior (TPB) model to examine the online buying intentions of Vietnamese students, revealing a strong relationship between customer beliefs and purchasing intentions Similarly, Pavlou and Fygenson (2006) expanded the TPB model to analyze online consumer behavior, highlighting key factors that influence E-Commerce success Their findings emphasize the significance of technology awareness, including perceived usefulness and ease of use, alongside trust, customer skills, available resources such as time and money, and product characteristics like value and evaluative capabilities in predicting E-Commerce customer engagement.
1.4.4 Theory of Perceived Risk (TPR)
Bauer's Theory of Perceived Risk (TPR) posits that risk perception in online shopping is influenced by two key factors: awareness of product or service risks and the risks associated with online transactions According to R.A Bauer (1960), understanding these risks is crucial, as they significantly impact consumer behavior and can facilitate the shift from browsing to purchasing online.
Identifying risks in PRT online trading is crucial for consumer protection, as it encompasses four main types of risks: privacy concerns, security issues related to authentication, non-repudiation challenges, and the overall perceived risks associated with online transactions.
The model indicates that consumer purchasing behavior is positively influenced by two key factors: risk awareness associated with online trading and risk perception regarding products and services As consumers become more aware of the various risks linked to e-commerce, their purchasing behavior tends to increase or decrease accordingly.
Authors Joongho Ahn, Jinsoo Park, and Dongwon Lee (2001) developed the E-commerce Adoption Model by merging the Technology Acceptance Model (TAM) with risk perception theory, as proposed by Davis and Arbor (1989) Their research highlights key elements influencing computer acceptance and user behavior, which are crucial for converting internet users into leads The study emphasizes that high levels of perceived usefulness and ease of use are essential, while minimizing risk awareness associated with products/services and online transactions is vital for successful e-commerce adoption.
Perceived Risk in the Context of
Diagram 0.6: Theory of Perceived Risk (TPR)
Perceived Risk in the Context of
THE STUDY
Company overview
2.1.1 History of formation and development
- Vietnamese name: Công ty Cổ phần Tataci Việt Nam
- International transaction name: Vietnam Tataci Joint Stock Company
- Head Office: House No.1, Niche 3, Lane 9, Group 2, Phu Luong Ward, Ha Dong District, Hanoi
- Rep Office: P20.04 CT2 Vimeco Nguyen Chanh, Trung Hoa, Cau Giay, Ha Noi
- Email: info.tataciland@gmail.com
- Director of the company: Nguyen Van Kien
Vietnam Tataci Joint Stock Company (formerly InvestLand) was established on July
Founded in 2013, the company has rapidly evolved over nearly seven years into a leading force in the real estate business distribution sector Our dedicated team has played a crucial role in successfully executing numerous large-scale projects, solidifying our reputation in the industry.
Tacati Land is establishing itself as a trusted real estate distributor, investment manager, and operational leader, while also aiming to be recognized as one of the top real estate brokers in Vietnam.
Tataci aims to establish itself as a leading real estate brokerage, targeting a top 3 position by 2022 To achieve this, we maintain a humble approach, focusing on the continuous improvement of our team and services Our commitment is rooted in the belief that each day should bring us closer to excellence, ensuring we are always better than we were yesterday.
Vietnam Tataci Joint Stock Company has a structured organization comprising a Board of Directors, a Board of Management, and several key departments including Project Development, Communication, Sales, and Legal This organizational framework is visually represented in Figure 2.1.
Functions and powers of departments in the company
The Project Development Department plays a crucial role in advising the Board of Directors on managing project implementation processes Additionally, it conducts research to identify effective solutions that enhance project development, ensuring alignment with market demands.
Figure 0.1: Organizational structure of Vietnam Tataci Joint Stock Company there, businesses can complete business strategies and achieve the desired economic growth.
The Communication Department plays a crucial role in advising the company on effective communication strategies, brand promotion initiatives, and public relations efforts It manages the company's website and serves as the primary liaison between the Board of Directors and local as well as national media outlets Additionally, the department is responsible for organizing and maintaining the storage and utilization of the company's images and videos, ensuring that all visual content is easily accessible for promotional purposes.
The Sales Department is responsible for creating comprehensive monthly, quarterly, and annual business plans under the guidance of the General Director They continuously monitor and adjust business activities in response to market fluctuations, focusing on input materials and output products to ensure the achievement of planned targets.
Human Rights Department: Plan and implement recruitment to meet the operational and development needs of the business.
• Reach out to the media to bring recruitment information closer to potential candidates.
Create links with quality human resources: Universities, Colleges, vocational training units in accordance with the business field of the unit.
Directly propose to superiors ideas to improve the quality of work of employees at the company and human services in particular.
Participate in solving related issues with recruitment legality.
Legal department: Advising and advising the Executive Board, units under Bao
Minh on legal matters related to operations Update, system and institutions of legal documents.
In today's competitive market economy and amid international economic integration, prioritizing human resources is essential for businesses aiming to thrive Tataci, JSC recognizes this need and is progressively investing in its workforce, as evidenced by the professional qualifications statistics detailed in Table 2.1.
Numner Qualifications Quantity (person) Density (%)
Table 2.0.1: Qualifications (Source: Administrative Department – Vietnam Tataci Joint Stock Company)
Table 2.1 reveals that the company currently employs 312 individuals, predominantly consisting of ordinary workers, with a limited number of university and college graduates This lack of skilled personnel has hindered the effective management of the modern machinery and equipment the company is investing in, leading to issues that result in equipment damage and production waste.
The senior team in the company increasingly relies on practical experience to enhance their skills in economic management and adapt to the market economy While some managers successfully identify business opportunities and drive growth, there remains a lack of proficiency among a few who struggle with management operations and fail to develop effective production and business strategies This deficiency in management significantly impacts the overall efficiency of production and business activities within the enterprise.
2.1.3 Business situation of the company
Despite facing intense competition and price fluctuations, the company has navigated challenges in its operating environment thanks to the dedicated efforts of its employees This teamwork has enabled the company to leverage its strengths and achieve its goals, as evidenced by the business results outlined in Table 2.2.
1 Sales revenue and service provision
3 Net revenue in sales and service provision
4 Cost price of goods sold
5 Gross profit on sales and service provision
10 Net profit from business activities {(30 =
14 Total accounting profit before tax
15 Current corporate income tax expenses
17 Profit after tax Corporate income
Table 0.2: Report on operating results over the years
Table 2.2: Report on operating results over the years (Source: Accounting Department – Vietnam Tataci Joint Stock Company)
The report on Tataci, JSC's business results reveals an uneven but overall upward trend in total sales and service revenue over the years Specifically, the revenue ratio increased from 1.17 in 2018 compared to 2017, and further to 1.22 in 2019 relative to 2018, indicating positive outcomes from the company's operational restructuring However, in 2020, there was a noticeable decrease in revenue, highlighting potential challenges faced by the company.
In 2020, the company's performance showed only a slight increase of 0.91 compared to 2019, indicating challenges in production and business operations amid intense market competition To thrive sustainably in the market, the company must implement effective strategies and policies that foster growth and resilience.
The company has experienced significant fluctuations in revenue and profit, with profit ratios declining from 1.21 in 2017 to 1.07 in 2019 Initially, strict management measures in the production process were implemented, but by 2020, profits decreased due to high production costs and elevated publication expenses To foster steady growth and meet customer demands, the company must implement strategies to reduce product costs.
Situation of factors affecting customers' decision to buy a house at
2.2.1 Consumer characteristics of home products at Vietnam Tataci Joint Stock Company
Tataci JSC has consistently demonstrated strong performance in the real estate market, achieving significant results across various sectors The company has made steady advancements in its business operations, solidifying its position and reputation within the industry.
Regarding real estate brokerage and business activities, the company has signed exclusive distribution contracts for commercial apartment projects for sale Some typical projects can be mentioned as follows:
Sails Tower Ha Dong Apartment Project
Truong Phu real estate project is the exclusive distributor of the Sails Tower project, which is developed by Khai Hung Company Limited and financially backed by Lien Viet Post Bank.
In Hanoi, a unique housing solution is available for families with a monthly income of 15 to 20 million VND, requiring an initial investment of only 30% of the contract value This innovative offering allows customers to own an apartment within just one year, with monthly payments that are comparable to typical rental costs This approach, developed by the investor in collaboration with distributors, provides an accessible path to homeownership for budget-conscious individuals.
Investor: - Khai Hung Company Limited
Design and construction consultant: Vinaconex Xuan Mai Design Consultancy
Joint Stock Company, Long Giang TSQ Stock Company
Sails Tower is located on Road 70, Kien Hung ward, Ha Dong district, from the project can be easily moved to commercial centers, hospitals, schools and parks
Sails Tower spans an impressive area of 9,382.1 m², featuring a construction area of 3,544 m² This project includes two towers, A and B, with 30 and 27 floors respectively, totaling 51 floors of apartments along with one basement and three service floors The design, inspired by the shape of a sail, ensures that all apartments benefit from abundant natural light due to the slender, elongated structure of both towers With 732 apartments available, Sails Tower accommodates approximately 2,800 residents, offering thoughtfully arranged units with two bedrooms, two bathrooms, and a living room, with sizes ranging from 46.47 m² to 107.8 m².
The building features three adjacent commercial floors that offer a comprehensive range of utility services, ensuring residents have convenient shopping options right at their doorstep The first floor is equipped with diverse facilities, including sports centers, European-standard swimming pools, and entertainment areas for families and children, along with clubs Prospective customers can easily visit sample apartments, facilitating their decision-making process The project is currently progressing rapidly, with an expected handover to customers in the fourth quarter of 2019.
Trung Van CT2 Project - Vinaconex3
Vinaconex 3 Trung Van project is in the overall planning of Trung Van, Bac Tu Liem district, Hanoi city Located on le Van Luong street with an area of 23,782m2, the project includes consecutive houses, garden houses, luxury apartments, offices for rent, commercial centers, supermarkets The project is planned in harmony with modern style, technical and social infrastructure system to ensure criteria in type I urban areas.
Investor: Construction Joint Stock Company N03
Vinaconex 3 Trung Van project consists of 2 apartment buildings CT1 and CT2, garden blocks, TT3 villas; flower gardens, parking lots, entertainment areas are arranged uniquely and harmoniously, all creating an ideal living space High-rise apartment building is a complex of 02 buildings with 17 floors with nearly 3,823m2, the total investment of VND 1,500 billion The 1st-floor service and commercial center is a convergence of the world's leading brands to help satisfy the shopping needs of the building's residents; from the 2nd to the 17th floor includes more than 300 luxury apartments with an area of 79m2 – 150m2; garden houses and successor houses with reasonable area and 74m2 – 80m2 for successor houses; garden houses with an area of 145m2 – 215m2 The project is currently in the process of being completed and is expected to hand over to the house in the first quarter of 2019.
In the real estate sector, Truong Phu serves as a pivotal market for brokerage activities and transactions, ensuring higher accuracy and reliability of real estate information This professionalism enhances the company's reputation, attracting an increasing number of customers to its services.
The company's activities in areas such as real estate auctions, advertising, management, financial advice, investment, and corporate restructuring consultancy have not yet seen significant development However, these sectors are actively being enhanced as part of an ongoing effort to refine the business plan The outcomes of the company's overall business operations are detailed in the following table.
Human Rights 80 sales staff 150 sales staff
Table 0.3: Business results of Vietnam Tataci Joint Stock Company
Table 2.3: Business results of Vietnam Tataci Joint Stock Company
(Source: Accounting Department- Vietnam Tataci Joint Stock Company)
Established in 2019 during a challenging real estate market, the company generated a revenue of VND 15 billion, despite facing a negative profit of VND 370 million due to high operating expenses and marketing costs However, by 2020, the company experienced steady growth, with total assets rising to VND 62 billion from VND 47 billion the previous year Successful projects like Sails Tower and Thang Long Garden significantly boosted revenue, leading to a total of VND 28 billion by September, nearly double the previous year's earnings Additionally, the company achieved a post-tax profit of VND 8 billion, enhancing equity and managing liabilities effectively To support its expansion, the sales team grew to 150, alongside a core staff of 40 employees.
In 2020, Tataci JSC has achieved impressive growth, conducting 50-60 transactions monthly for apartments valued between 700 million and 2 billion VND, resulting in an average monthly revenue of 5 billion VND and a profit of 1.5 billion VND This significant revenue increase compared to 2019 highlights the company's continuous efforts and development With a highly specialized leadership team and dedicated sales staff, Tataci JSC is poised for even greater advancements in the Vietnamese real estate market in the coming months and years.
2.2.2 Consumer demand for home products
Vietnam is undergoing significant industrialization, modernization, and urbanization, leading to the continuous expansion of urban areas The government's master plan predicts that the national urbanization rate will rise to 38% by 2025, with a substantial increase in housing demand As urbanization progresses, the need for housing grows in tandem with population increases and changing household structures This heightened demand is driven not only by natural and mechanical population growth but also by the desire for improved living conditions and larger housing spaces per capita Additionally, urban development projects, including infrastructure expansion and social services, necessitate housing solutions for site clearance and resettlement.
Vietnam's real estate market continues to experience robust growth; however, significant supply and demand imbalances persist across various segments As competition intensifies within the industry, real estate marketers must recognize that potential buyers exhibit a strong interest in purchasing apartments, which involves a complex decision-making process This purchase is a crucial milestone for customers, often requiring long-term financial planning and savings to afford an apartment.
In densely populated cities like Hanoi and Ho Chi Minh City, the rapid growth of condominiums is meeting the demand across various market segments, from affordable to luxury options As urban living becomes increasingly popular, buying and residing in apartment complexes is now a prominent trend Conversely, in medium-sized cities such as Hai Phong, where land availability remains relatively high, the purchase and residence in apartment buildings are not yet the prevailing trend.
Medium cities will soon face real estate supply and demand imbalances similar to those in larger urban areas To address this, it is essential to attract residents to purchase and live in apartments, aligning with future urbanization needs The effectiveness of real estate marketing hinges on a thorough analysis of buyer behavior and an understanding of the key factors influencing customers' apartment purchasing decisions.