Những yếu tố ảnh hưởng đến sự phát triển dịch vụ vận tải hành khách công cộng bằng xe buýt tại các đô thị ở việt nam nghiên cứu trường hợp thành phố hà nội TT TIENG ANH

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MINISTRY OF EDUCATION AND TRAINING
NATIONAL ECONOMICS UNIVERSITY
-----------------------------------

LE TUAN DAT

FACTORS AFFECTING THE DEVELOPMENT OF
PUBLIC BUS TRANSPORT SERVICE IN URBAN
AREAS IN VIETNAM
A CASE STUDY OF HANOI CITY
Major: Economic Management (Management Science)
Code: 9340410

BRIEF INFORMATION OF PHD THESIS

Instructor:
1. Assoc. Prof. Dr. Hoang Van Hoan
2. Assoc. Prof. Dr. Phan Kim Chien

HANOI - 2022

INTRODUCTION
1. Reason for choosing the topic
Over the years, urban areas in Vietnam have grown strongly in terms of scale,
quantity as well as quality. The urban system of Vietnam has created a new urban
appearance in the direction of a civilized and modern urban space, creating conditions
for people to have a high quality life. The urban system in Vietnam is growing stronger
and stronger, distributed relatively evenly across the country. Urban areas have played
an important role in bringing our country out of poverty to become a low-middle-income

country. Urban appearance is gradually improving. The urban infrastructure system has
been greatly improved, especially roads, river bridges, water supply, electricity supply
and public lighting. Many new urban areas were built.
However, in Vietnam after “Doi moi”, many problems appeared in the process of
urban development such as hot growth, lack of planning, environmental problems, and
social management in urban areas. On the one hand, the vision of poor urban planning
and management has given rise to many complicated problems, threatening to
sustainable development, on the other hand, many rural areas have been "impatient" to
become urban areas through the administrative regulations without complying with the
development laws of urban economy, etc. Economic growth along with rapid
urbanization has led to an explosion in travel demand in urban areas, especially in urban
areas. particularly large cities. To meet the ever-growing travel demand for means of
transport, this is really a challenge for the urban transport system. The rapid increase of
private vehicles is one of the causes leading to traffic congestion, environmental
pollution and many other problems of urban areas. The Government together with the
municipalities have been making efforts to find tools to solve this situation, in which the
development of public passenger transport, especially the public passenger transport
service by car. bus is considered an effective and central solution. However, the reality
shows that the public bus transport system in Vietnam's urban areas has not been really
effective, and has only met a very small part of the travel needs of people. people.
Hanoi is the political, administrative and cultural center of the country. In recent
years, the urbanization process in Hanoi is taking place very quickly in breadth, which
brings many development opportunities but also entails many problems such as the lack
of traffic infrastructure. The city's development speed, traffic congestion and
environmental pollution are becoming more and more complicated. In order to solve the
problem of the city's hot growth, together with the limitation of private means of
transport, it is necessary to develop and improve the efficiency of public transport,
especially the bus system, which is identified by the city government as a task. important
and central service in the city's development strategy. This policy should continue to be
consistently implemented with appropriate priorities for each stage. A case study of bus

service in Hanoi, a typical city of Vietnam, includes conducting an assessment of the
current development situation, determining the factors affecting the development and


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the direction and importance of the bus service. The development goals of the city
government will help provide highly generalized knowledge about the development of
public transport services by bus, thereby helping managers to plan strategies and build
solutions to develop bus services suitable to the characteristics of each city in Vietnam.
Therefore, the PhD student chooses the topic "Factors affecting the development of
public bus transport services in urban areas in Vietnam - A case study of Hanoi city".
2. Research objective “
The research objective of the thesis is to analyze and evaluate the factors affecting the
development of the public passenger transport service by bus from the current situation
of the development of the public passenger transport service by bus. buses in Hanoi city,
thereby determining the position, role and impact of each party in the State - Business People tripartite relationship, then give some recommendations to develop the public
bus transport service in urban areas of Vietnam.
To achieve the above goal, the thesis will focus on solving the following specific tasks:
- Clarifying theoretical issues about the development of the public bus transport service
and factors affecting the development of the public bus transport service in urban areas;
- Analysis of the current situation of developing public passenger transport services by
bus in Hanoi.
- Identify factors and evaluate the importance of factors affecting the development of
the public bus transport service in Hanoi. The factors are classified into three groups
based on the criteria of stakeholders involved in the development of the public bus
transport service, including: (1) State management; (2) The capacity of the enterprise;
and (3) People's perception.

- From the results of the study on the public bus transport service in Hanoi, some
solutions are proposed to develop the public passenger transport service by bus in the
cities of Vietnam in general. and Hanoi in particular in the near future.
3. Subjects and scope of the research
3.1. Research subjects
The research object of the thesis is the factors affecting the development of the
public bus transport service in urban areas (research in Hanoi city).
3.2. Research scope
- Content: Factors affecting the development of passenger transport services by bus
in Hanoi.
- Space - location: Research in Hanoi city
- Time: Assess the current situation in the period 2016-2020; Proposing solutions
for the period of 2020 - 2025 with a vision to 2030.
4. Research Methodology
The thesis is carried out with dialectical materialism method, historical
materialism method. At the same time, the following specific research methods were
used:

- Method of analyzing secondary documents: Conducted by collecting and
analyzing research works on passenger transport services by bus and factors affecting
the development of passenger transport services by bus. bus, evaluate the value side that
can be inherited, the backward side needs to be discarded, the anti-value side needs to
be criticized, and at the same time, detect gaps that need to be filled or researched and
developed.
- Statistical data processing method: Based on statistical data sources of
professional statistical agencies, administrative reports, social reports of previous
studies, the research team will analyze , evaluate the achievements and limitations of
data and information, compared with primary data obtained from independent research
results of the topic. - Sociological survey method: It is carried out by: (1) selecting the
survey sample; (2) design the questionnaire, pay attention to the types of questions

(choice question, weighted answer, open-ended question, structural analysis question;
(3) process of survey results: based on on the basis of mathematical statistics on
computers (by popular programs such as: Excel, Stata, SPSS - Statistic Package for
Social Studies). course (detailed in chapter 3 of the thesis).
- In-depth interview method: This method is applied to synthesize in-depth
opinions of experts on the issues, contents and research results of the topic. In particular,
this method is applied to consult and identify results related to proposing and
recommending policies to develop passenger transport services by bus to meet urban
development requirements. - case study of Hanoi capital
- Modeling method: To achieve the research objectives, it is necessary to apply
modeling methods, including on both aspects: the development model of passenger
transport services and the development of passenger transport services. passengers by
bus; and factors affecting the development of passenger transport services by bus.
Design the model according to many different options, analyze the advantages and
disadvantages, advantages and disadvantages of each model, on that basis select the
optimal model to put in the proposal.
5. Structure of the thesis
In addition to the introduction, conclusion and list of references, the list of related
works published by the author, the content of the thesis includes 5 chapters:
Chapter 1: Overview of the research situation.
Chapter 2: Theoretical basis of factors affecting the development of the public bus
transport service in urban areas
Chapter 3: Research Methods
Chapter 4: Reality and factors affecting the development of the public bus transport
service in Hanoi City.
Chapter 5: Developing the public bus transport service in urban areas in Vietnam in the
period of 2020-2025 and vision to 2030 – Through the case study of Hanoi city.


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Chapter 1: OVERVIEW OF THE RESEARCH SITUATION
1.1 Public services and public bus transport services
1.1.1 Public services
Based on the collected studies, it can be determined that bus service is a type of
public service, belonging to the group of public services with the goal of meeting the
travel needs of the people, under the management of the public. regulated by the State,
provided by the State or a 3rd party. In fact, in Hanoi city, bus service is being provided
in the form of state subsidies and to qualified enterprises. bidding to participate in the
supply under the inspection and supervision of the State.
1.1.2 Urban and urban public transport services
Research by Nguyen Van Diep (2011) gives the definition of urban passenger
transport service as follows: “Urban public bus transport service is a type of urban
transport that can meet a large volume of demand. travel demand of all classes of
population on a regular basis, continuously according to a definite time, in a stable
direction and route, in a stable direction and route in each certain period.” The study
also makes some observations: Public bus transport service is a complex, multifunctional system. Previously, the structure of the public bus transport system was
usually only considered according to the type of mode and mode of transport.
transportation area. Therefore, when investing in the construction and operation of the
public bus transport system, people only talk about the investment in vehicles and
infrastructure serving that means as well as the coordination between modes and types.
carriage. However, along with the requirements of modernization and improvement of
service quality of the public service system in urban areas, the public bus transport
system needs to be considered in a more comprehensive and complete way, not only in
a unified transport technology but in a unified transport technology. In the market
mechanism, in order to ensure the quality of passenger service, public bus transport
service activities are not merely transporting passengers according to time and space but
also providing people with a type of travel service. complete again.

1.2 Development of public bus transport services and factors affecting the
development of public bus transport services in urban areas
1.2.1 The public bus transport services and development of public bus transport
services in urban areas
Research by Nguyen Van Diep (2011) gives the following definition: “Public bus
transport service is all the constituent elements to contribute to the safe and satisfactory
transport of passengers by bus. satisfy the travel needs of people in urban areas. Thus,
the bus system is a small system in the large public transport service.
The public bus transport service is composed of the following two groups of
elements:
The group of elements on material and technical foundations includes:
- Bus route network to transport passengers.
- Means of transportation.
- Infrastructure for passenger transport: Stops, waiting houses, bus stations, transit
points.
The group of human factors includes:
- Businesses carrying out passenger transportation.
- State management agency for public bus transport service.
- Human resource training facility.

1.2.2 Factors affecting the development of public bus transport services in urban
areas
Regarding the factors affecting the development of public bus transport services
in urban areas, the most notable of these is the study of Daniel Albalate and Germá Bel
(2009). The study combines analysis of the link between human capital and regional
economic growth in the European Union and uses different indicators of the importance
of efficient and effective mobility in cities. Large scale is becoming essential for
planners and residents due to its impact on social, economic and geographical
development. The aim of this study was to identify the factors that explain urban
transport systems by estimating the aggregate supply and demand equations for 45 major

European cities.
When considering the public bus transport system as a service, we have research
by Philip Kotler (2002) indicating 4 main groups of factors affecting the behavior of
consumers using the service, including: cultural factors, social factors, psychological
factors and personal factors.
The study of Satoshi Fujii and Hong Tan Van (2009) explores the behavioral
intention to use the bus while considering 3 aspects including: people's perception of the
quality of bus service, perception of issues and moral obligations of people in Ho Chi
Minh City. The aim is to test the feasibility of developing mobility management
measures to convince motorcycle users to use buses more, and if so, how.
Research by M Susilawati and D P E Nilakusmawati (2017) evaluates the factors
affecting the satisfaction of bus passengers. The purpose of this study is to determine
the factors affecting the user's satisfaction with the quality of transport services by public
bus and determine the variables that become the determining factor. affect user
satisfaction. The study was conducted on public bus travel between districts in the
province of Bali, among eight governments and one municipality, using a questionnaire
as a data collection tool.
Chapter 2: THEORETICAL BASIS ON THE FACTORS AFFECTING THE
DEVELOPMENT OF PUBLIC BUS TRANSPORTATION SERVICES IN
URBAN CITY
2.1. Overview of the urban area and the public bus transport service in the urban
area
2.1.1. Urban area
2.1.1.1 The concept of urban area
In Vietnam, according to the 2015 Law on Urban Planning, the concept of an urban area
is defined as follows: “An urban area is an area with high density of population living
and mainly operating in the non-economic field. agriculture, is the political, economic,
cultural or specialized center, plays a role in promoting the socio-economic development
of a country or a territory, a locality, including the inner city. , the outskirts of the city;
inner and outer towns of towns and townships”.

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2.1.1.2 Characteristics of urban areas
The characteristics of the city are summarized as follows:
- An urban center is a political, economic, cultural, educational, scientific - technical
center, an important transport hub of the region, the locality or the whole country. Cities
are places where state agencies from the central to local levels are concentrated, and are
the focal points of many management levels and branches. Depending on the location
of the urban types, the influence on the localities is also different.
- Urban areas are places with high population density and heavy coherence.
- Cities, especially large cities, have strong economic potential.
- The city is constantly moving and developing, especially in the trend of
urbanization, where it is easy to receive new things (especially trends, trends,
technological revolution 4.0).
- Urban areas are places where important physical infrastructures such as
transportation, telecommunications, electricity, water, construction works are
concentrated.
- Urban areas have a mixture of urbanized areas and peripheral areas.
- The city is the center of tourism services.
- Urban areas are also the place where many social problems arise, unemployment,
criminal crimes, social evils... often overcrowding at training, medical, and traffic
establishments...
2.1.1.3. Urban travel demand
Travel demand is the average number of trips per person per unit time. The trip is a
purposeful movement with a distance of ≥ 500 meters.
The average number of trips per person in a day is called the travel coefficient, this

coefficient is usually determined in a time of 1 day and night.
When studying the travel needs of citizens, people distinguish the following concepts:
- Possible travel demand: is the largest possible number of trips of a person in a year to
serve the purposes of production, study, play, entertainment...
- Actual travel demand: Is the actual number of trips of people in a year to satisfy the
needs in the fields of production, life and daily life. In practice, the actual number of
travel needs is smaller than the possible number of travel needs because of the
duplication of trips (Multi-Purpose Trips).
- The demand for travel by means of transport, referred to as transport demand for short,
is the actual number of trips of people by means of transport. In fact, not all people use
PTFE to satisfy their travel needs, so the number of trips a person takes in a year using
PTTV is always smaller than that person's actual trip in a year. In developed countries,
walking accounts for a large proportion (maybe up to 30%) and the trend of trips using
non-motorized vehicles is increasing.
2.1.2. Public transport service in urban areas
2.1.2.1. Concept and mode of providing the public transport services in urban areas

Public transport service is a component in the urban transport service system, it is
a type of urban transport that can meet a large volume of travel needs of all classes of
population. on a regular basis, continuously in a definite time, in a direction and along
a stable route in each certain period. Passengers accept to pay the prescribed price.
In Vietnam, according to the regulations on public passenger transport in urban
areas of the Ministry of Transport, public transport service is a collection of modes and
modes of transport to transport passengers in urban areas at a distance of less than 50
kilometers and has a capacity of more than 8 passengers.
The complete public transit service system is an organic combination of three subsystems:
- Types of public transport vehicles
- The system of technical infrastructure includes: Infrastructure on the route,
Logistics facilities in the enterprise, technical infrastructure serving the management
and operation of vehicles and operating the entire network.

- Passenger services and support services include: Service services in the
preparation and terminal operations of the transport process; Additional passenger
services to enhance the comfort and accessibility of passengers using the public
transport service.
A system of public transport services in urban areas operating smoothly and
efficiently is determined by the compatibility between the type of public passenger
transport vehicle and the technical infrastructure and the system of public transport
services. support services, service services for vehicles as well as passengers.

Figure 2.1: Standard public transport system for a city
(Source: Nguyen Van Diep, 2011)
2.1.2.2. Types of public transport services with large capacity in urban areas
- The subway.
- Iron-wheeled tram.
- Monorail.


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- Light overhead tram - LRT.
- Steam train.
- Bus Rapid Transit (BRT).
- Buses
2.1.3. The public bus transport in urban areas
2.1.3.1. The concept
The public bus tranport service is a form of transport using buses to transport
passengers on fixed routes of a city, operating according to the operating chart and
prescribed fare to satisfy customers. daily travel needs of the people. For cities that have

not yet developed urban public rail transport (subway system, skytrain, ..), PUBLIC The
public bus tranport service plays a key role, meet the travel needs of the city's people by
public transport.
According to the regulations on business and conditions for transport business by
car in Decree No. 10/2020/ND-CP, dated January 17, 2020 of the Government: Clause
4, Article 117 of the draft Law on Road Traffic defines: “The public bus tranport service
is a type of public transport business using vehicles with a capacity of 9 seats (including
the driver) or more. board activities according to predefined routes, schedules, and pickup and drop-off stops
2.1.3.2. Characteristics
The characteristics of the public bus transport system in urban areas are reflected
in the following aspects: transport routes and operating time; transportation; operating
organization; service management and pricing policy; transportation needs; route
network management; operating and operating management system; passenger service.
2.1.3.3 Advantages and limitations
2.2. Developing the public bus transport service in urban areas
2.2.1 The Concept
The development of public bus services in urban areas is to increase service
value by expanding the scale of supply, improving service quality, expanding the
network and diversifying service types. services to customers in order to bring greater
efficiency to service providers in urban areas.
2.2.2. Contents of the development of public bus transport services in urban areas
2.2.2.1. Service scale growth
2.2.2.2. Improve the quality of transportation services
2.2.2.3. Service network development
2.2.2.4. New service development
2.2.3. Factors affecting the development of public bus transport services in urban
areas.

The public bus transport service in urban areas includes basic modules: route network;
vehicle; transport management and passenger service; at the same time related to 3

important subjects: the state; transport enterprises and passengers. Each entity has a
certain responsibility in developing the bus service.
The factors affecting the development of public bus transport services in urban areas can
be classified into three groups:
2.2.3.1. State factors
- Planning to develop bus route network
- Invest in means of public transport by bus
- Quality management of public passenger transport by bus
- Propagating and mobilizing people to take the bus
- Mechanisms and policies for the development of public bus transport service
2.2.3.2. Companies engaged in the business of transporting passengers by bus
- Facilities resources
- Service capacity of the shipping business unit
- Service process
- Management capacity of shipping enterprises
- Brand image
- Social responsibility
2.2.3.3. Customer factors
- Residents' preferences and habits
- Population size and population structure
- Income of residents
2.3. International experience in developing public passenger bus services
2.3.1. China
2.3.2. Thailand
2.3.3. Japan
2.3.4. Korea
2.3.5. Experience for Vietnam
2.4. Research model

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The initial research model of the thesis is proposed as shown in the following figure:

comprehensive assessment, and also help control errors and increase the reliability of
the study.

Figure 2.3 : Proposed research model
Chapter 3: RESEARCH METHODOLOGY
3.1 Research process overview
To be able to answer the research question, the thesis conducts quantitative
research, runs the test model using primary and secondary data sources, in which:
Secondary data is the data in the periodic reports of the Hanoi Transport
Corporation Transerco. In addition, the thesis can use many other diverse data sources
of specialized agencies such as Ministry of Transport, University of Transport and
Communications, environmental associations, Directorate for Roads of Vietnam.
The primary source of data is the data that the graduate student self-investigate by
using standardized interview method (survey via pre-designed questionnaire) and expert
interview method.
In addition, the thesis also conducted standardized interviews using a questionnaire
with an interview sample of 500 people by convenient sampling method, who are bus
passengers, workers living in Hanoi city, etc. Cabinet, officials of transportation
management agencies, employees of bus service companies. The standardized interview
with this sample of 500 people is expected to help supplement data to ensure a

Figure 3. 1: Thesis’s research process
3.2. Data analysis and processing methods
All survey data were entered into SPSS software. After reviewing and removing

unsuitable samples, the data is processed by computer according to the corresponding
criteria.
The study uses the following main research methods:
- Descriptive statistical method: The statistics are taken from updated data
provided by the regulatory agencies. Descriptive statistics method is used to show and
reflect the current state of public passenger transport in the study area.
- Comparative method: Compare growth levels of the same nature and attributes
in different periods and periods on the same line and study area.
- Method of synthesis analysis: Analysis is the separation of a complex event or
phenomenon into its parts, elements, and simple aspects. Synthesis is linking and
unifying the parts and elements that have been analyzed.
3.3. Qualitative research of factors affecting the development of public bus
transport services in Hanoi city
3.3.1. Objectives and subjects of qualitative research


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The main objective of carrying out this qualitative study is to examine the views of
experts and managers of bus service businesses on the development of public bus
transport services. in Hanoi. Get opinions on what factors can affect the, the degree of
influence of those factors. Recognizing a number of current status issues and
development orientations.
Subjects of the thesis to conduct in-depth interviews are a number of experts, state
managers and managers of some bus service businesses in Hanoi, a total of 20 people.
3.3.2. Data collection
3.3.3 Contents of qualitative research
Interviews were conducted with experts and managers at seminars with content

revolving around public passenger transport, public passenger transport development,
network development planning. traffic in Hanoi... The content of the interview mainly

processed to check for missing information for each observation, and cases with

revolved around the following issues:
- Perspectives on the development of public bus transsport service.
- The current status of the public bus transport network in Hanoi.
- What are the governmental factors affecting the development of public bus transsport
service?
- What factors affect people's bus ride?
- Some solutions to develop public bus transsport service in Hanoi in particular and big
cities of Vietnam in general.
- Interviews with bus operators were conducted at face-to-face meetings at a number of
transport businesses under Transerco. The content of the interview revolved around the
following issues:
- Business situation of the enterprise
- Views of enterprises on the issue of profits and corporate social responsibility when
doing business in buses
- Are there any factors affecting the bus service business of the enterprise?
- Some ideas to develop public bus transsport service.
3.4. Quantitative research
3.4.1 Selection of research samples
The number of samples used in this quantitative study is 500, Vietnamese people living
in Hanoi, the main subjects are workers, students, students and employees of agencies.
state management of bus services, employees and officers of bus service enterprises in
Hanoi. Some will be surveyed through Microsoft Forms software, some will conduct
questionnaires in paper form to ensure convenience for survey participants. The total
number of survey questionnaires sent was 500 (both in paper form and through
software). These 500 observations, after being collected, continue to be cleaned,

uncooperative answers. The results show that no observations and observed variables
are missing data; None of the observations had an uncooperative response (standard
deviation =0). The data set after being cleaned will be used by the NCS to conduct steps
in the formal quantitative research such as evaluating the reliability (Cronbach's α) of
the scales and assessing the suitability of the scales by analyzing EFA...then interpreting
the influence of factors by SEM structural equation model.
3.4.2 Building a scale of quantitative variables
Based on previous studies as well as reports of the Department and the Ministry
of Transport plus consultation with a number of experts, the thesis builds a scale for
the dependent variable "The development of public bus transport service” (P) is based
on whether or not the travel needs of the city people can be met, specifically here will
be assessed through the service scale, service quality, bus service network and new
services attached
The scale of the dependent variable and the independent variables are explained
in the table below:
Bảng 3. 1: Interpretation of independent variables in the research model
Observed variables

Explain

Source

Expect

P: The developement of public bus transport service
The scale of bus service is
getting larger(P1)
Bus service quality is
getting better (P2)

The bus service network is
expanding day by day (P3)
Bus services are deployed
under many new types

Likert scale 1-5
1: Totally disagree
2: Disagree
3: Normal
4: Agree
5: Totally disagree

Urban Economics (Arthur
o’Sullivan, 2003);
Public Economics (J.E.Stiglitz,
1995);
Urban Transit: Operations,
Planning and Economics
(Vukan R.Vuchic, 2005)

(P4)
X1: State management
Bus service is planned to
be connected and
synchronous (X1.1)
Bus service development
planning in line with the
city's development plan
(X1.2)
The system of roads, road

bridges, and tunnels meets
the needs of bus riders
(X1.3)

Likert scale 1-5
1: Totally disagree
2: Disagree
3: Normal
4: Agree
5: Totally disagree

The existence of a strategic
plan (Aase, 2009)
Inadequate management (Hazra
et al., 2009)
Full legal system (Aase, 2009)
The role of the State in
providing public services
(Nguyen Ngoc Hien, 2002)
Adequate management policies
(Mrayyan et al., 2006)
Support from municipal
authorities (Zurbrugg, 2005)

+


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The system of transit
points, stops, and bus
shelters meets the needs of
bus riders (X1.4)

Family, friends and
colleagues encouraged to
take the bus (X3.4)

The operation of the bus
management and operation

media encourage bus
travel (X3.5)

The government and the

center is effective (X1.5)

Buses help reduce
emissions and fuel
consumption by reducing
the number of private
vehicles on the road (X3.6)

The policy to support
development investment
has practical significance
and is implemented

synchronously and
effectively (X1.6)

Buses help reduce traffic
jams (X3.7)

The subsidy policy is very
practical and effective
(X1.7)
+

X2: Capacity of bus service companies
Enterprises achieve
expected profit from bus
service business (X2.1)
Enterprises fulfill their
social responsibilities
(X2.2)
Available facilities and
facilities are appropriate
(X2.3)

Economic tools (Chung et al.,
2008)
Corporate Social Responsibility
Likert scale 1-5
1: Totally disagree
2: Disagree
3: Normal
4: Agree

5: Totally disagree

(Porter & Kramer, 2002)
CSR strategy and competitive
advantage (Kotler & Lee, 2005)
Appropriate infrastructure and
facilities are available
(Mrayyan et al., 2006).
The costs of improving
technology (Abarca, 2013)

The quality of the business
means of the enterprise
meets the requirements
(X2.4)

+

X3: People’s perception
Buses make traveling more
convenient (X3.1)
Likert scale 1-5
1: Totally disagree
The cost of using the bus is
very cheap (X3.2)

2: Disagree
3: Normal

Reduce stress when

4: Agree
5: Totally disagree

participating in traffic
(X3.3)

Fujii and Van (2007)
Sumaedi et al (2010)
Ng dan Phuong (2015),
Setiawan (2012), Chen C.F. and
Chao W.H. (2010).
Yuwei Liu et al (2017), Heath
& Gifford (2002).


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Chapter 4: REALITY AND FACTORS AFFECTING THE DEVELOPMENT
OF THE PUBLIC BUS TRANSPORT SERVICE IN HANOI CITY
4.1. Overview of the public bus transport system in urban areas across the country
and of Hanoi City
4.1.1. Overview of the public bus transport system in urban areas across the
country
4.1.1.1. Line network
4.1.1.2. Infrastructure
4.1.1.3. Vehicles
4.1.1.4. Ticket and pricing
4.1.1.5. Policy
4.1.1.6. State management

4.1.2. Overview of bus public bus transport services in Hanoi City and state
management of public bus transport services
4.1.2.1. Public transport system in Hanoi City
Along with Ho Chi Minh City, Hanoi is the largest and special type of urban area
in Vietnam. After the expansion in 2008, now Hanoi city includes 12 urban districts, 1
town and 17 suburban districts, with an area of 3324.3 km2, a population of more than
7.3 million people (according to statistics 12/ 2015). Public transport in Hanoi consists
of two fundamentally different systems. An organized system for large vehicles
operating in fleets on fixed routes. The other system operates regionally for smaller
vehicles, operates independently and mainly serves individual passengers.
Fleet operation now includes one modality, a well-organized bus system planned
and operated by the city.
Operating in a single mode including 3 modes: (i) motorbike taxi - an informal but
convenient service, (ii) cyclo - now the traditional service has been banned in most of
the country. the city center area, and (iii) a mobile and extensive taxi system, and
recently the operation of a low-cost mini-taxi model.
4.1.2.2 The process of formation and development of public bus transport service in
Hanoi City
The development process of public bus transport service in Hanoi city can be
generalized in stages:
- Initiation phase.
- The period 1960-1986.
- The period 1992 - 2000.
- The period from 2001 to 2010.
- The period from 2011 - up to now.
4.1.2.3. State management of the public bus transport service of Hanoi City

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- State management agency for public bus transport in Hanoi:

- Documents on the development of public bus transport issued by Hanoi City
- Management contents:
+ Quality management of traffic infrastructure
+ Quality management of means of transport
+ Managing and operating transportation activities
+ Manage passenger service
+ Manage passenger ticket sales
+ Service quality inspection and supervision
+ Management of environmental sanitation
4.2. Situation of development of public passenger transport services by bus in
Hanoi City
4.2.1. Growth in service scale
4.2.1.1. Number of bus transportation business units
4.2.1.2. Number and structure of vehicles
4.2.1.3. Business results
4.2.2. Develop network
4.2.2.1. Bus route network
4.2.2.2. Stopover, waiting house
4.2.2.3. Transshipment point
4.2.2.4. End point
4.2.2.5. Bus-only lanes
4.2.3. Development of service quality
4.2.3.1 Capacity to provide public bus transport
4.2.3.2. Bus service quality as judged by passengers
4.2.3.3 Evaluation of bus service quality through household survey
4.2.3.4 Overall rating
4.2.4. Development of value-added services
4.3. Analysis of factors affecting the development of public bus transport in Hanoi
4.3.1 Qualitative research results
When experts, bus service managers were asked how the development of public

passenger transport by bus was evaluated, many opinions were given, but most all have
the same opinion that the development of bus service should be considered in terms of
how much it can meet the travel needs of city people, in addition there are opinions in
terms of number of bus routes, density of bus service network, and trip time of
passengers calculated by OD method. Some argue that the development of public bus
transport service has a direct impact on the quality of bus services provided by
businesses...


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Summarizing the results of all interviews with 20 experts, scientists, bus network
executives and bus transport businesses shows that factors have a positive impact on the
success of the bus network. The development of the public bus transport service in Hanoi
consists of 3 main factors which are State management, Enterprise capacity and
Customer awareness. These factors will be analyzed and tested using the following
observed variables (scales):
(1) Connectivity and synchronization of bus network planning.
(2) The relevance of the bus development plan to the city's development.
(3) The system of roads, road bridges, road tunnels serving bus passengers.
(4) System of transit points, bus stops, and bus shelters.
(5) Operation of the bus management and operation center.
(6) Policy to support investment and development of bus network.
(7) Subsidy policy.
(8) Profit earned by the enterprise.
(9) Corporate social responsibility.
(10) Availability of suitable facilities and facilities of the enterprise.
(11) Vehicle quality.
(12) Convenience level of the bus.
(13) Economical level when compared to other modes of transportation.

(14) Perception of reducing stress in traffic if using the bus
(15) Encouragement of taking the bus from the government and the media
(16) Encourage bus ride from family, friends & co-workers.
(17) Buses help reduce emissions and fuel consumption by reducing the number
of private vehicles in traffic.
(18) Buses help reduce traffic jams.
With a scientific basis are the theories of public services and public service
delivery, public service socialization, the theory of the intended behavior of customers,
the theory of the role and social responsibility of enterprises. industry, as well as theories
about the tripartite relationship in public service delivery, the proposed research model,
analysis and testing, gives results that are consistent with previous studies. The
development of public bus transport service is positively influenced by the State's
management; Capacity of service business enterprises; and People's perception of bus
service.
4.3.2. Quantitative research results
4.3.2.1. Description of the study sample
4.3.2.2. Test the research hypothesis
4.3.2.3. Confirm the research model

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Table 4. 1 Confirmation of research hypotheses

Initial research hypotheses
The management of the State has a positive influence on
H1
the development of the public bus transport service
The capacity of the bus service companies has a positive
H2 influence on the development of the public bus transport
service

People’s perception has a positive influence on the
H3
development of the public bus transport service

Confirm
Accept
Accept
Accept


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Chapter 5: DEVELOPMENT OF PUBLIC BUS TRANSPORT SERVICE
IN URBAN CITY IN VIETNAM PERIOD OF 2020-2025 AND VISION
2030 – THROUGH THE CASE STUDY OF HANOI CITY

5.2.1.8. Rearrange the management apparatus, enhance management efficiency to
reduce costs
5.2.1.7. Strengthen the work of inspection, examination and handling of violations
5.2.1.8. Rearrange the management apparatus, enhance management efficiency to
reduce costs
5.2.2. Solutions from bus operators
5.2.2.1. Innovation in vehicle quality management
5.2.2.2. Innovation in vehicle operation management technology
5.2.2.3. Improve the quality of passenger service

5.1. Major trends impacting the development of public bus transport service and
the development goals of public bus transport service of urban areas in Vietnam

5.1.1. Major trends impacting the development of public bus transport service

- The people's demand for the scale and quality of public services in urban areas
in general, passenger transport by bus is increasing day by day.
- The trend of decentralizing public service management from the central to local
levels and separating the organization of public service provision from state
administrative management.
- Restructuring of public non-business units and the trend of expanding private
participation in public service provision in urban areas.
- The scientific - technological revolution, especially the fourth industrial
revolution, strongly affects the way public service provision is organized in urban
areas.
- Extensive international integration under the new generation of free trade
agreements.
5.1.2. Objectives and perspectives in developing public bus transport service in
urban areas in Vietnam
5.1.2.1. Objectives
5.1.2.2. Perspectives
5.2. Some solutions to develop public bus transport service in Hanoi and other cities
in Vietnam - A case study of Hanoi city
5.2.1. Solutions on the Government's side
5.2.1.1. Develop a set of regulatory criteria for the quality of public bus transport service
5.2.1.2. Completing the route network planning, enhancing connectivity, rationally
developing the public bus transport route network in Hanoi to meet the improvement of
transport capacity.
5.2.1.3. Invest and exploit effectively the system of transport infrastructure, especially
connection and transit infrastructure
5.2.1.4. Promote the application of science and technology in management and
exploitation of transportation activities
5.2.1.5. Renovating the business management of public bus transport service

5.2.1.6. Limiting personal vehicles, promoting propaganda and mobilizing people to use
public bus transport service
5.2.1.7. Strengthen the work of inspection, examination and handling of violations

5.2.2.4. Ensure environmental issues
5.2.2.5 Building a bus culture
5.3. Recommendations


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FINAL CONCLUSION
The rapid urbanization process in Vietnam, on the one hand, creates important
prerequisites for the process of industrialization and modernization, on the other hand,
it also poses many problems and challenges for all levels of government. and one of
them is the problem of urban transportation. In recent years, in urban areas of Vietnam,
the urban transport infrastructure network has been continuously invested, expanded and
perfected. However, its development speed cannot keep up with the needs of
development, the growth rate of means of transport in urban areas, especially the growth
rate of personal means of transport.
Governments and municipalities are making great efforts to find tools to solve
this problem, in which the development of a public bus transport system is considered
as a right, effective and focused direction in the short, medium and long term. In
Vietnam, buses are still the main mode of public passenger transport in urban areas,
including the two largest cities in Vietnam, Hanoi and Ho Chi Minh City. However,
even in these two cities, the public bus transport service only meets about 6-7% of the
demand (for Ho Chi Minh City) and 17% of the demand (for Ho Chi Minh City). Hanoi)
travel of people. However, the development of public bus transport service in which

direction to really bring efficiency is still an issue that needs to be studied.
By identifying and grouping factors affecting the development of public passenger
transport by bus in Hanoi city, the thesis delves into the study and test of the
relationships between these factors. by conducting in-depth interviews and by means of
a questionnaire survey with the subjects of experts in the field of public transport, bus
service managers, service businesses bus service and with the people of Hanoi city. This
test has helped the PhD candidates to analyze and test each correlation, the influence
level of factors, answer the original research question and fill the identified research gap.
before.
From there, propose appropriate solutions and recommendations to the competent
authorities in order to develop bus services to more and more meet the travel needs of
people in cities in Vietnam.
This study also has certain limitations as follows, this is also the direction of further
research and development of the thesis:
Because the limitation of resources as well as research time of the thesis affects
the sample size of the survey, the generalizability of the model is not high. Further
studies can expand the study to other cities such as Ho Chi Minh City, Da Nang... these
are all cities that have a well-developed public bus transport network and carry new
features distinctive.
Quantitative research uses convenient sampling method, non-probability, so the
representativeness of the sample is not high.
Research context has not included other modes of public transportation such as
BRT, Metro... because these types have not been put into operation. In the future, when

these types of public transportation are put into operation, it will greatly affect the usage
habits of people in big cities. This will pose many problems for further studies.


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LIST OF RESEARCHES RELATED TO THE THESIS
1. Le Tuan Dat (2018), "Application of market solutions in public service provision",
Proceedings of the State-level scientific conference KX.01/16-20
2. Le Tuan Dat & Vu Thi Anh Nguyet (2020), "Some factors affecting the use of
buses by people in Hanoi", State Management Magazine No. 296 (September
2020)
3. Le Sy Tho & Le Tuan Dat (2018), "The current situation and solutions to develop
public transportation in big cities of Vietnam", State Management magazine No.
274 (11/2018)
4. Le Tuan Dat (2020), "The current situation and some recommendations to
improve the efficiency of public bus transport service in Hanoi city", Economic &
Manager magazine No. 34 (June 2020)