Factors Affecting the Business Performance of the Companies: Evidence from Vietnam Listed Banks
Keywords:Business Performance (BP), Enterprises (ES), Small and Medium Sized Enterprises (SMES); Vietnam Listed Banks (VLB);
The study was meant to investigate factors affecting the business performance at Vietnam listed joint stock commercial banks. The study aimed at finding out how clientele, source of funds, leadership and promotional strategies, government regulations, macroeconomics factors influenced the business performance of Vietnam listed commercial banks. The study adapted a descriptive research design as a major method of research where questionnaires were used to collect data from a sample of Vietnam listed joint stock commercial banks. Data collection was both primary and secondary data. Primary data was collected using questionnaires distributed to the banks’ employees. They were designed to obtain broad range of answers from respondents which were used to answer the research questions. They comprised of close ended questions and secondary data was gathered from previous studies and annual reports of banks. Descriptive statistics was used to analyze data and the statistical package for social sciences (SPSS 21.0) and advanced Excel were used. Reports were tabulated using frequency tables for clarity. The results established the relationship between business performance as a dependent variable and the independent variables including clientele, and source of funds, promotional strategies and leadership. The study findings showed a great influence of funds and clientele on the performance of commercial banks, followed by promotional strategies. Leadership was found to have less influence on performance of the bank. The study suggests to the financial sector players to maintain a sufficient clientele base and embrace healthy competition. The findings should draw the attention of scholars, the government and the private sector to help in ensuring economic stability of this country as banking is a major sector of the economy.
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