FACTORS INFLUENCING VIETNAMESE’S INTENTION TO BECOME MULTILEVEL MARKETING DISTRIBUTORS

Abstract

The research is conducted in order to identify and measure the influence of factors on Vietnamese’s intention to become MLM distributors. From this, the research would recommend some managerial implications and suggestions for future research. The study is based on the Theory of Planned Behavior (Ajzen, 1991) and is conducted by two main methods: qualitative research method and quantitative research method. Qualitative methods are applied to synthesize documents to develop a proposed research model and appropriate research scales. Through background theories and previous researches on the same topic, the research model is formed with 5 factors that positively affect people’s intention to join MLM, including: Attitude towards MLM, Subjective norm, Perceived behavioral control, Source of income, and Product quality. On the other hand, quantitative research method is applied to test the survey result, research hypotheses, and the suitability of the model. Pivotal research is conducted with 289 respondents who have engaged in MLM companies. The collected data is processed by assessing the reliability of the scales, Exploratory Factor Analysis (EFA), Multiple Linear Regression (MLR), t-test, and Analysis of variance (ANOVA). The results state that all 5 factors have positive impacts on Vietnamese intention to become MLM dealers. The influence level from high to low are Attitude towards MLM, Product quality, Source of income, Perceived behavioral control, and Subjective norm. In conclusion, there are many factors affecting individuals’ intention to participate in MLM companies, including 5 factors in this research. From the results from the research, managerial implications would be made to enhance the intention. So, this contributes to the development of the MLM industry.