chapter 1: introduction · web view2021. 1. 26. · it also fails to consider the well-being and...

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An Investigation into the Effectiveness of

Leadership Styles on Employee Motivation in

the Coffee chain industry in Vietnam

Word Count: 13,173

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ABSTRACT

Purpose – This paper aims to examine and analyze the impact of leadership on

young employee motivation in the coffee industry in Vietnam.

Design/Methodology/Approach – The inductive approach will be applied to collect

qualitative data from the semi-structured interview. The purposive sampling

technique will be applied to choose 7 Millennial participants, and the interview will be

online through social media channels.

Findings – The responses collected from the interview will present the perception,

motives, and preference of Millennial employees for different leadership styles.

Additionally, the study provides main findings related to the impact of leadership on

employee motivation and commitment at work.

Research limitations/implications – One outstanding limitation is that it focuses on

a small sample size in a specific context. Hence, the application of this research in

other contexts is contemporary and might be unclear.

Practical implications – The research findings propose implications for further

research in other context related to the agricultural industry in different non-Western

cultures in the Asia-Oceania region.

Originality – This paper significantly fills research gaps in previous studies on

leadership and employee motivation. The research findings provide insights and

knowledge into the perception of the leadership role in employee motivation and

commitment in the organizational context of the Vietnam coffee industry.

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TABLE OF CONTENTS

Chapter 1: Introduction 10

1.1. Research background 10

1.1.1. The growth of global and Vietnam coffee chain industry 10

1.1.2. Factors that affect the prospects of Vietnam’s coffee chain industry 10

1.1.3. The effects of national cultures on the coffee chain industry 12

1.1.4. Employee motivation in Vietnam’s coffee chain industry 13

1.2. Research gaps 14

1.3. Research questions 15

1.4. Research objectives 15

1.5. Research scopes and limitations 16

1.5.1. Research scope 16

1.5.2. Research limitations 16

1.6. Research structure 16

1.7. Chapter summary 17

Chapter 2: Literature Review 18

2.1. Key concepts of motivation 18

2.2. Related theories on motivation 19

2.2.1. Self-determination theory (SDT) 19

2.2.2. Five levels of needs and motives 22

2.2.3. Task-based motivation 24

2.3. Key concepts of leadership 25

2.4. Related theories on organizational leadership 26

2.4.1. The contingency leadership in the organizational environment 26

2.4.2. Theory X and Theory Y on transformational and transactional leadership 27

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2.5. Empirical studies on the relationship between leadership, motivation, and

commitment 30

2.5.1. The relationship between leadership and employee motivation 30

2.5.2. The relationship between employee motivation and commitment 31

2.6. Chapter Summary 31

Chapter 3: Research Methodology 33

3.1. Highlighted points of literature review sources 33

3.2. Research philosophy 34

3.3. Research approach 35

3.4. Research strategy 36

3.5. Qualitative research design 38

3.6. Sampling technique and sample size 39

3.6.1. Sampling technique 39

3.6.2. Sample size 40

3.6.2. Data summary 41

3.6.3. Ethical considerations 42

Chapter 4: Research Findings 43

4.1. Interview result 43

4.1.1. Theme (1): The experience and motives of young employees when working

at coffee brands in Vietnam 43

4.1.2. Theme (2): Young employee preferences for reward-based leadership or

morality-based leadership 46

4.1.3. Theme 3: The linkage between organizational leadership and young

employee’s motivation and commitment 48

4.2. Theoretical discussion 51

4.3. Chapter summary 53

Chapter 5: Conclusion and recommendation 53

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5.1. Conclusion 53

5.2. Recommendation 54

Reference 55

Appendix 1: Questionnaire 65

Appendix 2: Sample of Interview Transcript 66

Appendix 3: The detailed “priori codes” template and data collected 71

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LIST OF FIGURES

Figure 1: Hofstede of Vietnam and Thailand 11

Figure 2: The SDT continuum 18

Figure 3: Maslow’s need hierarchy 20

Figure 4: Framework of motivation constructs 22

Figure 5: Fiedler’s contingency model on leadership 24

Figure 6: Transactional and transformational leadership 26

Figure 7: Conceptual diagram 30

Figure 8. Onion Framework 33

Figure 9: The “priori code” template 36

LIST OF TABLESTable 1: Sampling’s demographic information 38

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Chapter 1: Introduction This chapter presents a general background of management styles and employee

motivation in the coffee industry in Vietnam. It consists of four main sections,

including the research background, research gaps, research questions and

objectives, and the dissertation structure.

1.1. Research background1.1.1. The growth of global and Vietnam coffee chain industry

Over the past decades, the global coffee chain industry has considerably expanded

at a steady growth rate. According to ICO (2019a), the worldwide coffee market has

witnessed a significant increase in coffee consumption by 1.7% in the period of 2018

and 2019. In 2019/20, it was forecasted to increase by 1.5%. In the Asia-Oceania

region, the consumer demand for coffee was expected to rise by 3% in 2019/20,

which is significantly larger than other regions, and greater than the average annual

consumption rate (ICO, 2019b). It is evident that Asia is now becoming the world’s

largest coffee market by consumption volume.

Among Asian countries, Vietnam has become the second-largest coffee-exporting

and coffee-manufacturing market since the 1990s with the average annual supply

that reaches over 2.56-million-kg bags (ICC, 2019). Hence, this paper mainly

focuses on the case of Vietnam to present the general context of the coffee industry

in Eastern nations.

According to the USDA (2019), the domestic coffee demand was estimated to rise

up to 3-million-kg bags in 2019/20. This leads to the current trend that many

enterprises in the global coffee sector enter the Vietnam retail market and run their

businesses (USDA, 2020). In fact, the Vietnam coffee chain industry is competitively

dominated by plenty of multinational brands such as Starbucks, Dunkin Donuts,

Nestle, The Coffee Bean and Tea Leaf, and national brands such as Trung Nguyen

Legend, Highlands, The Coffee House. It results in the need for human resources to

efficiently work in such a highly competitive industry like the Vietnam coffee chain

sector.

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1.1.2. Factors that affect the prospects of Vietnam’s coffee chain industry

To identify different factors affecting the development of the coffee chain sector in

Vietnam in recent years, this paper applies the PESTEL framework, including

political, economic, sociological, technological, legal, and environmental.

Firstly, regarding political factors, the Vietnam government has made different

policies to ensure the prospects of the domestic coffee industry. According to

Nguyen (2017), the revised version of Investment and Enterprise Law, which was

launched in 2014, give the way for FDI (foreign direct investment) into Vietnam. This

law reduces the prohibited sectors and simplifies legal procedures for global

investors to enter the Vietnam markets. Additionally, the government has issued

policies related to tax exemption, trade promotion, and preferential tax in the

agricultural sector (e.g., Decree No. 210/2013/ND-CP, Decision No. 19/2018/QD-

TTg on 2018/04/19) to encourage foreign investment in the coffee industry (Hoang

and Do, 2019).

Secondly, regarding economic factors, Vietnam has been a developing economy in

South-east Asia. After the economic reform “Doi Moi” in 1986, Vietnam has

witnessed a remarkable development and transformation from the poor country to

the world’s middle-income nation. According to Trading Economics (2020), the

average nominal GDP in Vietnam reached USD 245 billion in 2018/19, which

increased by 6.6% from 2000 to 2018, and is expected to USD $265 billion by

2019/20. Over this period, Vietnam has been becoming the leading exporter of

agricultural products, including rice, tea, rubber, black pepper, and coffee (ICC,

2019).

Thirdly, regarding sociological factors, Vietnam has abundant and cheap human

resources (The World Bank, 2018). According to the report from PwC (2019), the

number of employees in working-age has accounted for 52% of the total population

across Vietnam. Additionally, 42% of the workforce has engaged in the domestic

agricultural sectors. This proves that there is a remarkable demand for human

resources in the Vietnam coffee industry in recent years.

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Fourthly, regarding technological factors, the nation has made a substantial

investment in coffee manufacturing by importing and utilizing the advanced irrigation

and fertilizer system. Changes from low-quality Robusta coffee production to higher-

quality Arabica coffee production is the positive result of the application of high

technology in the coffee industry.

Fifthly, regarding environmental factors, domestic coffee is cultivated in the Central

Highlands with high humidity and hot weather. The major coffee products are

Robusta and Arabica. Yet, the drawback of coffee cultivation is deforestation for

farming. In recent years, lands and ecological systems in Central Highlands are

gradually exhausted and deteriorated (ICC, 2019a).

Lastly, regarding legal factors, many products from coffee brands in Vietnam such as

Trung Nguyen products have been certified by Utz or EUREGAP, which is the

principal standard for farming products by a conglomerate of supermarkets in

Europe.

The highlighted PESTEL factors result that the coffee chain industry has been

rapidly growing in Vietnam. Hence, it is necessary for conducting academic research

to contribute to the development and prospects of this sector in the future.

1.1.3. The effects of national cultures on the coffee chain industry

This paper applies the Hofsteed to examine different factors related to two non-

Western cultures, including Vietnam and Thailand. It aims to discuss the effects of

these factors on the Vietnam coffee chain industry (see Figure 1).

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Figure 1: Hofstede of Vietnam and Thailand

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Source: hofstede-insights.com (2020)

In general, the Hofstede argues that Vietnam is a collectivistic country with low

uncertainty avoidance score. Hence, it is evident that employees in the coffee

industry expects a relaxed working environment and effectively works with leaders

on moral bases. Yet, this perspective also raises the question that whether young

Millennial employees in digital ages also prefer the working environment with

collectivism, since Millennial generations in Vietnam are adopted advanced

knowledge and innovations from globalization. Then, this study aims to propose new

findings for this question and insights into the preference and motives young

employees towards organizational management in digital ages.

Additionally, since the cultural factors of non-Western countries such as Vietnam and

Thailand are significantly similar in different dimensions, the results from this paper

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might be applicable in other contexts in different non-Western cultures of South-East

Asia.

1.1.4. Employee motivation in Vietnam’s coffee chain industry

Due to the intense competition among coffee businesses in Vietnam markets, all the

coffee shops have been striking to develop their competitive advantages based on

internal resources such as labor. They focus on their employee motivation and

commitment to enhance employee performance and fulfill customer requirements.

According to Robnagel (2017), motivating employees is a leader’s core mission,

since leaders give the way, support, and empower their followers to work effectively.

Leaders contribute to developing a healthy working environment and creating an

organizational culture with employee incentive and enthusiasm, which significantly

motivate employees to carry out their tasks. Additionally, their ability enables, affects,

and encourages their followers to make a substantial commitment to business

success (Rizwan and Mukhatar, 2014). Hence, employee motivation becomes one of

the most important tasks of leaders in the global market, generally, and in the

Vietnam coffee chain industry, in specific.

In the past six months of 2020, the COVID-19 pandemic has made a substantial

impact on the domestic F&B (food and beverage) sector, including the coffee chain.

The government policy related to nationwide social distancing in Vietnam has limited

the operations of F&B enterprises, including coffee brands (USDA, 2020). It causes

significant business disruption, and therefore, a work stoppage, which negatively

affects the employee’s benefits, including wages, bonuses, and allowance.

Consequently, this situation raises the question of whether and how leadership in

Vietnam coffee shops can encourage and motivate their employees to work

efficiently when their jobs might be threatened by the COVID-19.

1.2. Research gaps

It is argued that the organizational environment is fast-changing in different ways,

and there is a significant increase in employee demands for getting motivated at

work. Though there exist various empirical studies on the relationship between

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leadership styles and motivation in the organizational context, three outstanding

research gaps include:

- The unawareness of employees regarding the role of leadership styles in getting

motivated at work (1)

- The lack of research on the role of leadership on employee motivation in the

coffee industry (2)

- Findings of the effect of leadership on employee motivation in a specific context

in Eastern cultures (3)

Developing an overall understanding of employee motivation and incentives, which

arise from employee attitude towards organizational leadership, in the case of the

Vietnam coffee industry significantly supports main findings of the research, and

therefore, fill the three mentioned research gaps.

1.3. Research questions

In alignment with the previously highlighted research gaps, the major aim of this paper is to answer the primary research question: “How do leadership styles of Coffee chain’ management influence employee motivation and commitment in Viet Nam?”

1.4. Research objectives

The research objectives aim to fill the research gaps (1) and (2). In particular, these objectives focus on employee’s awareness and attitude towards different leadership styles. They also provide an in-depth analysis of the impact of leadership and employee motivation in the coffee industry in Vietnam.

On the contrary, this paper fails to fill the research gap (3) since it requires further comprehensively academic research to examine a larger size of organizations in various Eastern cultures. This study ignores the research gap (3) and focuses on the case of Vietnam, which is regarded as one of the largest coffee chain market among Asian countries. Then, it seeks for empirical evidence to accomplish three following specific research objectives:

- To examine the thoughts and motives of employees working at coffee brands

in Vietnam and their thoughts towards leadership (1).

- To investigate employee preferences for reward-based leadership or morality-

base leadership (2).

- To identify the linkage between organizational leadership and employee

motivation and commitment in the case of the Vietnam coffee industry (3).

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1.5. Research scopes and limitations

1.5.1. Research scope

The research scope in this paper examines the Millennials who currently work in the

coffee industry in Vietnam. According to KPMG (2017), the Millennials are regarded

as the youngest generation to participate in the worldwide workforce, who were aged

born between 1980 and 2000. The Millennials are raised in the advanced digital age,

and well adopted the values of informational technology (Michels, 2015). The report

from Manpower Group (2020) indicates that Millennials account for the largest

proportion of the global workforce in 2020 (up to 35%). Hence, this generation

significantly represents the attitude of the current workforce towards the research

question.

1.5.2. Research limitations

This paper includes several research limitations. Firstly, an outstanding limitation is caused by the small sample size, since this research applies the qualitative data and inductive approach. Due to limited resources, it draws main findings based on a small sample size that represents the whole population of the Millennial workforce in the coffee brands in Vietnam.

Secondly, it focuses on examining the research question in a specific industry.

Hence, the results and findings from this research can only be applied in the coffee

sector, and therefore, invalid in other industries in Vietnam markets.

Thirdly, it only examines the perception of two common leadership styles, including reward-based and morality-based leadership, and their impact on young employee motivation. The research excludes other significant factors that affect motivation at work.

Lastly, the findings from this research are drawn based on the qualitative data collected at a certain time from 10 July 2020 to 24 July 2020. Hence, it fails to generalize the relationship between motivation and leadership styles during the long-term period.

1.6. Research structure

The research includes six fundamental chapters, including introduction, literature

review, methodology, findings, data analysis and discussion, and conclusion. While

Chapter 1 provides the research background, research gaps, research questions,

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and objectives, Chapter 2 presents different theories related to leadership and

employee motivation that would be applied in the empirical analysis of this research.

Next, Chapter 3 emphasizes the methodology, including the research method, approach, sample design, and ethics. Chapter 4 provides the main research findings which are drawn from the qualitative data. Chapter 5 discusses and analyzes what is mentioned in the previous chapter in accordance with the research objectives. Vietnam. Lastly, chapter 6 provides the conclusion and recommendation for the coffee chain industry in the research.

1.7. Chapter summary

Generally, this chapter presents the growth and prospects of both global and local coffee industry. It also indicates a significant increase in employee demands in the organizational context. It is evident that the new way to enhance business performance and productivity is to encourage employee satisfaction and motivation through effective management.

There have been previous theories on leadership styles and employee motivation. Yet, the application of these theories to examine the relationship between leadership and employee motivation in the Vietnam coffee industry is empirically unclear. Chapter 1, therefore, presents the research gaps, questions, and objectives that focus on the topic of leadership and employee motivation at coffee brands in Vietnam. Since the concept of leadership and motivation is remarkably broad, the research scope and limitations have also been mentioned in this chapter.

Chapter 2: Literature Review

Chapter 2 presents three main theoretical models and theories on leadership, as well as three different models and theories on employee motivation. It aims to develop a thorough concept for further analysis in this paper. Relevant frameworks and theories on motivation include the Self-determination theory, Maslow’s need hierarchy, Kanfer’s task-based motivation. They contribute to explaining different factors that create, differentiate, and affect employee behavior and attitude. In addition, relevant theories on leadership include Fiedler’s contingency theory on leadership, Theory X on transactional management and Theory Y on transformational management. They explain different aspects that influence the management styles of leaders in the organizational context.

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2.1. Key concepts of motivation

Motivation is an essential part of the success and business prosperity in the existing dynamic and competitive market. Motivation can be defined as an individual’s degree of willingness to exert and maintain the production of effort towards organizational goals (Golzadeh, 2010). Additionally, motivation is regarded as an essential tool that reinforces the behavior of individuals and encourages them to self-develop (Barton and Martin, 1998). It is a personal drive to fulfill the growing demand and to reach specific objectives. Also, according to Kalimullah (2010), motivation is a procedure developed by a psychological or physiological need, which encourages the individual’s performance.

Employee motivation is the degree of effort that an employee is willing to make in order to help organizations achieve their common goals (Rahbi et al, 2017). Some major factors that can influence employee motivation include the fulfillment of needs, workplace fairness, overtime policy, employee personal and professional development programs, reward and recognition system, etc. (Hamidifar, 2009).

Generally, empirical research on motivation examine the different definition of employee motivation. Then, it partially gives a way to understand the meaning of key concepts highlighted in three objectives of this research.

2.2. Related theories on motivation

2.2.1. Self-determination theory (SDT)

In general, the study develops its research objectives and research design based on the self-determination theory. The SDT emphasizes the linkage between employee motivation and self-development process to meet individual goals. The research on motivation in the workplace by Deci and Gagne (2005) stated that Porter and Lawler (1968) developed the employee’s self-motivation model according to Vroom’s motivation theory in 1964. Drawing upon this domain theory, the model includes two major dimensions, including intrinsic motivation and extrinsic motivation (Deci and Ryan, 2008). Intrinsic motivation reflects the positive side of an inherent desire for gaining competence and new knowledge that reflects employees’ sense of self and satisfies their personal needs beyond the considerations of monetary benefits (Conchie, 2013). In contrast, extrinsic motivation is not triggered by the individual self but is rather activated by external consequences like a financial benefit or career promotion (Conchie, 2013). Hence, the SDT provides significant differences between two different dimensions on work motivation, the objectives of employee’s activities, and the purpose that encourages employees to achieve their individual goals. (Lens, Matos, and Vansteenkiste, 2008). Figure 2 presents the SDT continuum that qualitatively differentiates three groups of motivation based on the regulation of external behavior.

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Figure 2: The SDT continuum

Source: Deci and Gagne (2005)

This approach proposes that the personal motivation of employees can be divided into three different categories, including extrinsic and intrinsic motivation, and demotivation. According to Deci and Gagne (2005), demotivation is created by an absence of motivation. In other words, an employee has no incentives to engage in corporate activities. Then, demotivation leads to the activity’s devaluation, and the absence of perceived individual control (Guimaraes and Bzuneck, 2008).

Extrinsic motivation is categorized into four different regulations. While external regulation is regarded as the least autonomous individual motivation since an employee engages in the organizational activities to gain rewards and avoid possible punishments, introjected regulation considers that an individual controls external results based on the consequence of negative feelings, including self-esteem, anxiety, and guilty (Lens, Matos, and Vansteenkiste, 2008). Regarding identified regulation, it is moderately autonomous since it focuses on the inevitable role of internalization, including values, objectives, goals, and regulations (Lens, Matos, and Vansteenkiste, 2008). Integrated regulation, which is the most autonomous form of motivation, describes the significant coherence of individual objectives, values, and behavior (Guimaraes and Bzuneck, 2008).

Intrinsic motivation is regarded as an inherently autonomous type of individual motivation. Guimaraes and Bzuneck (2008) argue that, in intrinsic motivation, employees maintain different interests and passionate about performing their daily work, and positively engage in organizational activities.

Though SDT theory provides a specific framework to analyze the concept of employee motivation, several researchers on cross-cultures have noted the limitations of this theory. Specifically, Bond (1998); Markus, Kitayama, and Heiman (1996) emphasized that the SDT’s fundamental propositions should not

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be applied to examine behaviors of individuals in Eastern countries. This perspective raised the question of whether autonomous motivation is the employee’s inevitable psychological need. It is also argued that collectivism in Eastern cultures experiences less value of autonomy than individualism in Western cultures since collectivism appreciates the social conformity, family interdependence, and harmony (Chao and Tseng, 2002). However, there also exist major proponents of cross-cultural criticisms towards self-determination theory. Chirkov et al. (2003); Ryan (1993) emphasized a conceptual error to differentiate the “autonomy” concept and “uniqueness, independence, and conformity” concept. Autonomy presents individual behavior’s internal endorsement. Consequently, it is significantly consistent for each people to be autonomously motivated and respond to common benefits, as well as to autonomously engage in values of collectivism (Ryan and Lynch, 1989; Ryan, 1993).

In conclusion, an outstanding characteristic of SDT theory is that it focuses on the difference between controlled and autonomous motivation, rather than the motivation in common. Also, it outlines broad, detailed, and clarify contexts regarding motivation, including teams, families, and organizations. Hence, the framework of SDT theory meets the research objective (1) which is to examine the employee attitudes and feelings towards management in the organizational context and research objective (3) which is to identify the linkage between leadership and employee motivation.

2.2.2. Five levels of needs and motives

The empirical theory on individual needs by Taormina and Gao (2013) provided the explanation of need hierarchy with different levels of human interests, demands, and motivation in the external society based on Maslow’s model (1943). Specifically, people arise their personal needs in the next levels when previous levels are fulfilled. Figure 3 shows five different levels of Maslow’s need and motive hierarchy, including physiology, safety and security, love and belonging, ego, and self-actualization (Onah, 2015).

Figure 3: Maslow’s need hierarchy

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Source: Onah, 2015

Figure 3 indicates that physiology needs include all fundamental demands of humans for water, food, housing, accommodation, sleep, procreation, and reproduction. According to Anyanwu et al. (1985), these needs are substantially necessary for survival and community participation of humans in society. Safety and security describe the fight and protection from chaos, disturbance, physical threats, and disorder of society in the external environment (Santrock, 2001). When needs for basic things and safety are fulfilled, there is a tendency for humans to consider the need for love and to be loved. While love and belonging refer to the growing demands for involving in a specific group, e.g. family, peer, friendship, and workplace, ego needs are considered as the desire of self-respect, reputation, recognition, and admiration in the society (Anyanwu et al.,1985). Maslow’s fifth level refers to self-actualization or self-realization needs, which encourage individuals to create an internal desire to innovate and show their talents or capabilities (Santrock, 2001).

In regards to motivation, Deci and Ryan (2000; 2008) emphasized that the satisfaction and fulfillment of Maslow’s fundamental needs for physiology and psychology positively influence and motivate an individual’s well-being. Hence, to support this perspective, Koestner and Milyavskay (2011) stated that there is a significant correlation between life satisfaction and individual motivation in the society.

In conclusion, the Maslow model significantly answers the objective (1) of the study, which is to provide the implications for employee awareness of leadership role in getting different motives. There exist potential opportunities for motivating people through different leadership styles, organizational events, and HRM strategies. For instance, leaders could provide fundamental benefits that are necessary for employees to fulfill their physiological demands. Also, they could

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create a safe workplace, job security, and team-based community to meet security and social needs.

However, there is a significant gap related to cultural diversity when previous research for this theory was carried out. Specifically, Yang (2003) stated that the first level of individual need in China is love or social needs. Another research conducted by Varoglu et al. (2000) in Turkey argued that safety or security should be satisfied prior to physiological needs. One significant explanation is that Maslow’s theory ignored the existence of personal feelings in the low levels. Maslow assumed people would not consider emotions until their most fundamental priorities are fulfilled (Frei, 2004). This causes an obstacle in examining individual behaviors to satisfy their needs. Hence, Maslow’s theory failed to provide a significant explanation for the employee’s behavior in the workplace (Jex, 2008).

2.2.3. Task-based motivation

Kanfer (1987); Kanfer and Ackerman (2004) have developed an empirical theory related to employee motivation, which emphasizes the overall traditional cognition. This theory examined the linkage of motivation and differences in individual abilities as a fundamental basis to predict employee performance in the workplace. Figure 4 demonstrates two different frameworks of motivation, including distal and proximal constructs (Kanfer, 1992).

Figure 4: Framework of motivation constructs

Source: Kanfer (1992)

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Distal constructs include significant mechanisms regarding the individuals’ utility to perform their tasks and the perception of creating substantial efforts to achieve a sufficient individual commitment. Genetics, needs, motives, and cognitive decisions are categorized under distal constructs (Kanfer, 1992). When the tasks and activities are significantly complicated and require a comprehensive effort, proximal constructs, which include intentions, goals, self-monitoring, and self-regulation, are critically necessary for the development of personal competence and task performance (Muchinsky & Culbertson, 2016). Regarding the theory on task-based motivation, the approach provided by Kanfer (1987) examined a general concept of “motivation”, which is influenced by both proximal and distal factors. Additionally, it emphasized the mechanisms that encourage people to focus on improving their skills and work performance.

In conclusion, the task-based motivation theory fulfills the third objective of this study which is to examine the linkage between leadership, motivation, and individual commitment in the working environment. However, since Kanfer’s motivation theory ignores the unitary meanings of motivation and the analysis of individual goals, it leads to the limitation in the knowledge that prevents previous studies from providing a significant prediction of heuristic and algorithmic employee’s commitment. It also fails to consider the well-being and considerable outcomes provided by different kinds of individual motivation (Deci and Gagne, 2005). In comparison to the SDT theory, though SDT does not mention about the mechanisms to achieve individual goals, it does provide sufficient analysis to forecast different kinds of work performance. Hence, SDT plays a critical role in the well-being outcome and performance prediction.

2.3. Key concepts of leadership

According to Weihrich et al. (2008), leadership is critically described as a significant branch of organizational management. Then, leaders are individuals who provide sufficient directions for a specific group and utilize sustained achievements from this group to reproduce other directions, and then, encourage members in this group to achieve final outcomes (Conger, 1992).

According to Sansom (1998), corporate leadership describes the management ability to achieve and manage the common benefits in an organization through recognizing the individual needs of employees and connecting them to reach multiple goals to develop the best workplace. Also, the corporate leader is considered as an individual who provides sustained changes in a company, in complying with the company’s common objectives, vision, and mission (Dunphy and Stace, 1994).

Generally, empirical research examines different concepts of leadership in management strategies. Then, it partially gives a way to understand the meaning of key concepts highlighted in three objectives of this research.

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2.4. Related theories on organizational leadership

2.4.1. The contingency leadership in the organizational environment

The basic approach of “contingency leadership” describes that leaders in a specific organization can perform their work more effectively when their styles and behaviors, regarding leadership, are significantly correlated and related to both external and internal forces of the organization (Daft, 2005). This finding supports the contingency theory developed by Fiedler (1967). Figure 5 presents the analysis of contingency leadership, which is analyzed based on Fiedler’s (1967) model (Crow and Matthews, 1998).

Figure 5: Fiedler’s contingency model on leadership

Source: Crow and Matthews (1998)

According to Fiedler (1996), the situational or contingency leadership theory examined three different factors that significantly influence the leader’s task performance. Firstly, leader-member relations refer to the linkage between leaders of a specific group and its individual members. It also describes the level to which employees trust their supervisors, to which supervisors efficiently guide their subordinates, and to which supervisors inspire them to improve their performance (Crow and Matthews, 1998). Fiedler (1996) divides leader-member relationships into two levels, including good and poor. Secondly, the task structure mentions the basic nature of both non-frequent and frequent tasks of employees in the workplace to control and maximize their outcomes and performance results (Crow and Matthews, 1998). This factor includes high task structure and low task structure. Thirdly, position power describes the leadership power that each leader obtains in the workplace (Crow and Matthews, 1998). Leaders with position power have comprehensive rights to make decisions, implement, and handle common issues in the organization (Fiedler, 1996). Position power can be divided into two main levels, strong power, and weak power.

In regards to correlation among three different factors of contingency leadership, Fiedler designed the LPC (Least Preferred Coworker) scale to evaluate leadership styles, including task-oriented leadership and relationship-oriented leadership (Crow and Matthews, 1998). A leader is relationship-motivated when

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he achieves a high LPC score. On the contrary, he is considered as a task-motivated leader (Daft, 2005). Then, according to Yukl (2006), while task-motivated leaders refer to those who focus on achieving common goals, relationship-motivated leaders desire to maintain close relationships with their subordinates.

In conclusion, Fiedler’s contingency model critically considers the close linkage between leaders and their followers in the organizational environment. When this relationship is positively strong, the tasks are efficiently planned and implemented (Yukl, 1989). Hence, the contingency theory partially fulfills the research objective (3) which is to examine the relations between leadership and employee. Regarding the gap in knowledge of contingency leadership, Fiedler (2006) mentioned that this theory provides a significantly wide concept of leadership with various management activities and behaviors. Hence, it is criticized that Fiedler’s contingency theory is developed based on inadequate literature and variables. Hence, this leads to an obstacle in reaching other research objectives in this study.

2.4.2. Theory X and Theory Y on transformational and transactional leadership

Although various factors affect employee motivation at the workplace, such as workplace fairness, reward and recognition system, leadership is still considered the most influential factor that shapes a supportive climate for promoting the motivational state of employees (Zeffane and Connell, 2003). Leadership in an organization takes various forms. Research in the organizational domain has suggested different leadership styles being implemented by leaders, however, transactional leadership and transformational leadership remain the two most primary types that represent opposite ways to manage the team and company (see Figure 6, Robbins and Judge, 2017). Generally, this study develops its research objectives and research design based on the self-determination theory.

Figure 6: Transactional and transformational leadership

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Source: Robbins and Judge (2017)

Transformational leadership which is associated with theory Y in the management is defined as a leadership style that places an emphasis on energizing and inspiring employees to exhibit their own ideas and to promote their personal career development (Robbins and Judge, 2017). A transformational leader is expected to cover four areas (as seen in Figure 6), including individualized consideration, intellectual stimulation, inspirational motivation, and idealized influence (Robbins and Judge, 2017; Jackson, Mayor, and Wang, 2012). Individualized consideration refers to paying particular attention to workers and their personal desires to support them for accomplishing their developmental needs (Zeffane and Connell, 2003). Intellectual stimulation provides a sense of freedom by giving a high level of autonomy to subordinates, enabling them to freely schedule their own pace of work and experiment creative ideas and methods while performing their work (Naile and Selesho, 2014). Inspirational motivation focuses on inspiring confidence for employees when handling tasks in order to gain the best job outcomes (Barbuto, 2005). Idealized influence emphasizes the leaders’ role model to foster employees’ trust in their leaders’ managerial capabilities (Barbuto, 2005). Though there exists empirical evidence that these listed areas are distinguishable (Bass & Avolio, 2003), there is a significantly high correlation among them. Hence, they build an overall transformational leadership’s measurement.

Transactional leadership is congruent with theory X and emphasizes the importance of compliance. This means that, as opposed to transformational leadership, employees under the transactional regime are expected to comply with the well-established norms and values as well as the predetermined standards and routines consistently (Robbins and Judge, 2017). Therefore, reward and punishment capture

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the essence of a transactional leader (Bass, 2000). According to Figure 2, transactional leadership is constituted by three-dimensional factors, including contingent reward, management by exception, and Laissez-Faire (Robbins and Judge, 2017; Jackson, Mayor, and Wang, 2012). Contingent reward represents the tangible awarding and compensation system to recognize employees with good performance (Hinkin and Schriesheim, 2008), thus this system might intensify the extrinsic motivation for employees. Management by exception encourages employees to avoid mistake and misalignment with the well-established standards. While some leaders monitor all activities conducted by their subordinates (active side), others might provide an independent space for employees to self-control their work pace for the avoidance of mistakes (Bass, 2000), and this can actually boost employees’ intrinsic motivation. Laissez-Faire exhibits a limited responsibility of leaders in managing the work of employees, they only strictly intervene when mistakes happen, and this loose supervision might create a motivating environment for experienced and skilled workers (Furtner, Baldegger, and Rauthmann, 2013).

In conclusion, when comparing the transactional-transformational leadership to the Fiedler’s contingency, this theory critically categorizes leadership into different styles. Also, it provides an overall knowledge of characteristics, pros, and cons of each management style in the organization. It significantly considers the leader-follower relationship, as well as the leader’s influence on the motivation and commitment of employees. Hence, this theory fulfills the main research objectives (2) and (3) since it includes implications for different leadership styles and the relationship between leadership and employee motivation. One potential limitation that possibly influences this paper’s research finding is the new context. Though the basic essence of transactional-transformational leadership could be universal in various contexts, its efficiency significantly varies based on the changes in different contexts (Bass 1997). In the fast-growing transitional economies, such as the coffee chain industry in Vietnam, in which leaders have not clearly identified their leadership styles, the management behaviors created by transactional or transformational leadership could be relatively less efficient than countries with long-term management culture and practice.

2.5. Empirical studies on the relationship between leadership, motivation, and commitment

2.5.1. The relationship between leadership and employee motivation

Empirical studies have analyzed the impact of transformational leadership on employee motivation. Bass (1997) studying the military sector stated that leadership plays an essential role in the motivation of military personnel. A study conducted on the health care industry argued that transformational leadership significantly influences the psychological motivation of nursing employees and their task performance (Avolio et al., 2009). Additionally, while Mary (2005) revealed the significant impact of transformational leadership in the workplace, the study conducted on education sectors examined its influences on teacher’s self-motivation (Thoonen et al., 2011). The studies conducted on the oil industry by Gopal and Chowdhury (2014), and the banking sector by Anujum, Abbas, and Sajid (2017) also stated that there is a positive relationship between transformational leadership and motivation in the leading oil enterprises and the banking system in India and

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Pakistan.

Fewer studies have been conducted to examine the relationship between transactional leadership and employee motivation. The empirical analysis by Judge, Piccolo, and Ilies (2004) stated that leadership significantly relates to various areas, including employee motivation, work satisfaction, and performance. Bass (1999); Ali (2018) argued that transactional leadership leads to higher motivation and greater employee contribution to an organization’s business performance. Then, there is a positive relationship between transactional leaders and different kinds of individual self-motivation (Webb, 2007).

2.5.2. The relationship between employee motivation and commitment

Within the organizational context, commitment refers to the attachment to the organization in order to maintain the membership status. This variable emphasizes the psychological linkage between employees and the organization as well as their career (Mckay et al., 2007).

A high degree of commitment stimulates workers to encounter job situations more positively as an opportunity (rather than responsibility) to in turn motivate them for the pursuit of better performance and loyalty (Madjar, Oldham, and Pratt, 2002). Importantly, prior research has indicated that this commitment is driven by the motivational processes, meaning that motivation is the energizing force for organizational commitment (Meyer, Becker, and Vandenberghe, 2004). Additionally, to examine the relationship between leadership and commitment, the meta-analysis conducted by Jackson, Meyer, and Wang (2013) revealed the significant correlation between transformational and transactional leadership on employee’s affective commitment to organizations.

Generally, these empirical studies provide a significant understanding of the linkage between organizational leadership, employee motivation, and commitment. Hence, it significantly supports the study to answer the primary research question about to what extent leadership styles regarding the coffee chain’s management influence employee motivation and commitment in Viet Nam.

2.6. Chapter Summary

In conclusion, this chapter provides specific theoretical models and theories on the concept of motivation and leadership. Though there have been many studies that show a positive linkage between leadership and employee motivation at work, three gaps that have been listed in Chapter 1 may be presented in the literature. While effective leadership plays an inevitable role in the development of organizational management strategies, it raises the question of whether employees are well aware of the leadership’s role in supporting them to get motivated at work. Additionally, they have been carried out in the general context. Thus, the effect of leadership on employee motivation in the coffee industry in Western countries such as Vietnam is still unclear.

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This paper applies the SDT theory on motivation, Theory X and Y on leadership styles to explore three research objectives. Since these theories are applicable in a remarkably broad context, including teams and organizations, this paper significantly utilizes them to deeply examine different types of motives and thoughts that employees receive from different management styles in a specific case of the Vietnam coffee industry. The SDT theory aims to fulfill the research objective (1). Transformational-transactional theory fulfills the research objective (2). Figure 7 shows the conceptual diagram that illustrates the main points of this paper. While transformational and transactional leadership refers to Theory X and Y on different leadership styles, extrinsic and intrinsic motivation refers to SDT theory. The linkage between transformational-transactional leadership and extrinsic-intrinsic motivation fulfills the research objective (3). Additionally, based on previous studies on employee motivation and commitment, the research partially shows how each type of motivation at work leads to individual commitment.

Figure 7: Conceptual diagram

The research context focuses on the coffee chain industry in Vietnam, which has maintained the non-Western culture over the past decades. Yet, there have been several cross-cultural criticisms of SDT theory, which raise questions whether SDT theory fails to be applied in the case of Vietnam.

However, since the research scope focuses on the young employee of Millennial generation in the digital and cross-cultural age, the difference between Western and non-Western cultures regarding autonomy, independence, and uniqueness might not be outstanding (Michels, 2015). Hence, an outstanding point in this paper is that it supports previous studies conducted by Chirkov et al (2003); Ryan (1993). They stated that the SDT theory is still applicable in both individualism in Western cultures and non-collectivism in non-Western cultures.

Chapter 3: Research Methodology

This chapter aims to explain the epistemological philosophy that the research applies for further data analysis. It presents an overall analysis of the research structure and research design, which is critically applied to collect data and draw potential findings that reach all research objectives.

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Meanwhile, the methodology chapter applies the research onion developed by Saunders Lewis and Thornhill (2016) to further select research philosophy, method, strategy, technique, procedure, and time frames. They are complying with the highlighted research objectives in chapter 1, and support the research to reach the main findings and conclusion for the research question.

3.1. Highlighted points of literature review sources

The existing studies on the relationship between leadership and employee motivation have primarily applied different research methods to reach their research objectives. They use either questionnaires, in-depth interviews, case studies, or mixed methods to analyze significant factors that affect the motivation levels of employee and leadership styles. These factors are built based on various theoretical models and theories, including those mentioned in the Literature Review chapter. Notably, the Maslow’s need hierarchy, Vroom’s expectancy theory that Deci and Gagne (2005) used to develop their self-determination (SDT) model, and theory X-Y on transformational and transactional leadership have been frequently applied in the relevant existing research.

The application of the interview approach in previous studies to examine the linkage of motivation and leadership styles is more frequent than other research methods. Due to the need for quality access to multiple coffee brands, this paper also decides to apply a structured interview to search for new insight into its research question.

3.2. Research philosophy

When it comes to the methodology, the onion framework is highly relevant. The most suitable movement for this paper is social epistemology, which relates to a broad set of knowledge in a specific research field. This can be empirically examined and analyzed by scientific testing. An outstanding point of social epistemology is regarded as applying different facts, justification, beliefs, and evidence to prove knowledge. Hence, social epistemology concerns social and human factors which significantly affect knowledge through theoretical models and theories in the field of psychology, education, and sociology (Lofgren, 2013).

The underlying concern of the onion framework relates to choosing the right

philosophy between interpretivism and positivism. Positivistic philosophy interprets

the central research problem with only mathematical and scientific ways (Saunders,

Lewis, and Thornhill, 2016). Hence, the research approach with positivism uses

quantifiable and objective data to avoid possible biases in the data analysis. Its main

objective is to reach the research objectives through testing hypotheses and analyze

quantitative data. However, positivism is mostly associated with various behaviors

and objective thinkings of individuals. There has been criticism towards research

findings from positivism since it ignores the in-depth analysis of individual insights

(Research Methodology, 2019).

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In contrast, interpretive philosophy emphasizes subjectivity since it relies on the subjective and relative observations to understand the focal phenomenon being interested (Saunders, Lewis, and Thornhill, 2016). Interpretivism believes that knowledge and truth are critically subjective, and therefore, the world can only be interpreted based on the real understanding and experiences around them. Hence, researchers in interpretivism use the relativist ontology which explains that a certain reality has various presentations and meanings (Ritchie et al., 2013). These meanings are considered as the most crucial aspect of the social reality, norms, and culture in human life (Krauss, 2005). One outstanding advantage of interpretivism is that researchers can apply different views and insights into a specific event to deeply analyze the objects and phenomena in different contexts (Hammersley, 2013). Yet, there also exist several criticisms of interpretivism since it only focuses on deeper explanation of truth or knowledge in a certain complex situation rather than examines other populations in multiple context (Cohen et al., 2011). It tends to leave the limitation in proving the usefulness and validity of research findings with scientific process.

Figure 8. Onion Framework

Source: Saunders, Lewis, and Thornhill (2016)

This paper decides to follow the accepted traditional philosophy, which has been applied for data collection and data analysis in the existing literature of Avolio et al. (2009), Mckay et al. (2007), Gopal and Chowdhury (2014), Anujum, Abbas, and Sajid (2017) and Thoonen et al. (2011) on the relationship between leadership and motivation. In particular, they use interpretivism associated with subjective observations and interviews to provide a deeper insights of research question.

3.3. Research approach

Besides philosophy, the reasoning approach must be identified properly for theory building. Figure 6 suggests the two fundamental approaches to theory development, namely induction, and deduction. Induction aims at conceiving a new theory by going from a specific level (i.e. data collection) to the general level (i.e. building propositions from collected data to create a new theory) (Saunders, Lewis, and

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Thornhill, 2016). On the contrary, the objective of the deduction is to find and analyze a pattern, which can be utilized to explain a particular issue.

The deductive method describes the top-down analysis which aims to test the empirical hypothesis that contradicts or supports the theory. The inductive method mentions the bottom-up analysis that aims to generalize and complement the existing theoretical models in a new way (Creswell, 2007). The application of these two research approach are based on research philosophies. While positivism relates to deductive aproach, interpretivism is associated with inductive approach (Thorpe and Jackson, 2008). Hence, in complying with the interpretivism philosophy, this paper applies an inductive approach for further data analysis.

3.4. Research strategy

Qualitative method and quantitative method are considered as the two most popular methods being used to conduct social science research. Qualitative method refers to unstructured techniques like an in-depth interview or focus groups to explore a relatively unknown topic for gaining exploratory and probing information about it (Babbie, 2012). As opposed to this, the quantitative method complies with well-designed and structured techniques like the survey to collect continuous data that can be statistically examined for yielding statistical outcomes that are sufficient for quantifying the relationship of variables (Babbie, 2012). In this paper, the research strategy would follow the traditional approach of existing qualitative studies on leadership and motivation such as Webb (2007), Avolio et al. (2009), Mckay et al. (2007), Thoonen et al. (2011), and Anujum, Abbas, and Sajid (2017). Hence, it is efficient and significant to examine and analyze the leadership behavior and employee emotions in the working environment by collecting data under the mono qualitative method. According to Anderson (2004), this qualitative approach is also suitable for further exploratory research.

In complying with the qualitative research and interpretative approach, this paper chooses the Template Analysis to thematically analyze and organize the collected qualitative data. Template Analysis refers to the process of “coding template”, which aims to summarize a broad “theme” of the research (King, 2012). It allows the researcher to create extensive themes in which the most valid data can be found. In Template Analysis, data are arranged into a specific template, which meaningfully and significantly represents the relationship among various themes in the research (Brooks and King, 2014). According to Goldschmidt et al. (2006), data used in studies with Template Analysis are more frequently collected from structured interview transcripts, focus group interviews, and open-ended responses from the written questionnaire.

In this paper, the “priori codes” involve the broad “themes” which are regarded as the priority that reach three highlighted research objectives (e.g., the concept of transformational and transactional leadership, the concept of intrinsic and extrinsic motivation), the “themes” which are taken from the research objectives (e.g. the young employee attitudes, motives, and preference for traditional or transactional leadership in Vietnam coffee industry), and from previous relevant studies (e.g., Avolio et al. (2009); Anujum, Abbas, and Sajid (2017) on the relationship between

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different leadership and motivation at work). The following figure shows the template from the “leadership and motivation” study in the case of the Vietnam coffee industry.

Figure 9: The “priori code” template

1. The experience and motives of young employees in domestic coffee brands

1.1. The recent experience in the coffee industry

1.2. The employees’ number of working year and position in their current

coffee shops

1.3. The changes in the coffee industry

1.4. Important characteristics of leaders

2. Preference for morality-based or reward-based leadership

2.1. Employee perception of transformational or transactional leadership

2.2. Employee experience of transformational or transactional leadership

2.3. Employee preferences for transformational or transactional

leadership

3. The linkage between leadership and motivation

3.1. Employee perception of intrinsic or extrinsic motivation

3.2. Linkage between extrinsic or intrinsic motivation and leadership styles

3.3. Employee commitment

In general, this paper utilizes the sub-themes of the “priori codes” to develop the questionnaire for the semi-structured interviews and collect relevant data. Also, the study partially designs its research questionnaire based on Maslow’s level of needs and motives. With theoretical models from these theories, the study aims to collect significant data to draw conclusions and main findings from its assumptions on leadership-employee motivation relations in the Vietnam coffee industry.

3.5. Qualitative research design

The study includes a survey research design. The participants are current employees of different coffee shops, coffee outlets, cafeterias, and restaurants specialized in the coffee business in Ho Chi Minh City, Vietnam. Since Ho Chi Minh City is the fastest-growing economic center of Vietnam, this location has gathered the largest number of workforce in various industries, including the coffee chain. Hence, it is expected that the group of interviewees significantly represents the general perception of the employee towards leadership, motivation, and commitment in the coffee chain industry. Additionally, to significantly analyze the impact of leadership styles on work motivation, the study collects different perspectives from

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followers who are being supervised and managed by their superiors in their coffee workplace.

The research instrument is the semi-structured interview that contains three main sections. Section A provides four general questions regarding current the experience of respondents in the coffee industry. These questions aim to encourage the willingness of respondents to comfortably participate in the interview. While Section B refers to the respondent’s perception and opinion about different leadership styles, Section C mentions their current motivation and commitment to developing their future career in the coffee industry. Particularly, these sections aim to acquire qualitative data regarding transformational and transactional leadership, intrinsic, and extrinsic motivation. While leadership variables are critically analyzed based on the transactional-transformational model developed by Bass and Avolio (1994); Robbin and Judges (2007), the analysis of motivation variables is examined based on the Self-determination model generated by Deci and Gagne (2005). According to Galleta (2013), a semi-structured interview is one of the most popular research instruments in exploratory research. This allows the researcher to well prepare a comprehensive concept to collect detailed information and opinions of respondents (Polit and Beck, 2008). It can be applied to enlarge the responses of interviewees by asking them for giving their perspective towards different problems, regarding leadership, employee motivation, and commitment in the coffee industry.

3.6. Sampling technique and sample size

3.6.1. Sampling technique

The population for this topic focuses on a particular coffee industry in a particular culture such as Asian culture to fill the gap in previous literature. It provides an in-depth understanding of the impact of leadership on employee currently working at different coffee brands in Vietnam.

Previous studies on the relationship between leadership and motivation have predominantly applied mono-methods, including either mono-quantitative or mono-qualitative, to conduct their research and provide main findings for this topic. Though quantitative data provides the statistical results to discuss underlying relationships, qualitative methods play an important role in ensuring the complexity and depth of the main findings. In relation to the research strategy, the qualitative data collection method would be applied in this paper.

Since it is relatively hard to collect the data from the total population in the

Vietnamese coffee chain industry, the study applies the purposive sampling

technique to choose a specific representative sample. Purposive sampling is

described as a specific branch of non-random and non-probability sampling, in which

members of the interview group satisfy similar characteristics such as age, or gender

to provide their opinions related to a specific topic and interest (Dornyei, 2007).

Regarding purposive sampling, the researcher requests her supporter who is

currently working in Vietnam to choose a representative sample who were born

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between 1980 and 2000, and currently working at coffee brands in Ho Chi Minh City,

Vietnam, including Starbucks, Highlands, The Coffee House, and Trung Nguyen

Legend. The online interview procedures will be encouraged to conduct on different

channels, including Skype, Whatsapp, and Facebook Messenger.

3.6.2. Sample size

The participants are encouraged to answer 10 questions (see details in Appendix 2) and provide their personal opinions towards major problems listed in the semi-structured questionnaire. Table 1 presents the anonymized demographic information of 7 different participants. It generally indicates how reliable and valid data they could provide to participate in the research

Table 1: Sampling’s demographic information

Participant Demographic factors Detail

#1

Age 25Gender MaleLocation Ho Chi Minh CityEmployment Full-timeCharacteristics FollowersExperience year in the coffee industry 2Current workplace Large national brand

#2

Age 28Gender FemaleLocation Ho Chi Minh CityEmployment Full-timeCharacteristics FollowersExperience year in the coffee industry 4Current workplace Large global brand

#3

Age 22Gender FemaleLocation Ho Chi Minh CityEmployment Full-timeCharacteristics FollowersExperience year in the coffee industry 1Current workplace SME brand

#4

Age 30Gender MaleLocation Ho Chi Minh CityEmployment Full-timeCharacteristics FollowersExperience year in the coffee industry 6

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Current workplace Large national brand

#5

Age 22Gender MaleLocation Ho Chi Minh CityEmployment Full-timeCharacteristics FollowersExperience year in the coffee industry 2Current workplace Large global brand

#6

Age 27Gender FemaleLocation Ho Chi Minh CityEmployment Full-timeCharacteristics FollowersExperience year in the coffee industry 3Current workplace Large national brand

#7

Age 21Gender MaleLocation Ho Chi Minh CityEmployment Full-timeCharacteristics FollowersExperience year in the coffee industry 2Current workplace SME brand

The study aims to conduct a semi-structured interview with Millennial employees aged from 20 to 30, in which 3 out of 7 participants are female employees in Ho Chi Minh City, Vietnam. Next, all of them are regarded as followers, who currently perform their tasks under the management of their supervisors. While most of the participants are currently working for popular brands in the coffee industry (43% of the research sample for popular national brands, and 28% for popular global brands), participants from SME brands accounted for nearly 29%. Regarding the number of experience year, 4 out of 7 participants have 1-2 years working in the coffee industry. While 2 out of 7 participants have 3-5 years of experience, only 1 participant spends over 5 years working in this sector.

3.6.2. Data summary

The collected data from the research is valid and reliable since the interview structure approach is the face-to-face and in-depth interview. This process aims to protect the quality standardization and consistency of related responses. According to Cargan (2007), overall findings and conclusions drawn from semi-structured interviews are significant since the interviewer is allowed to deeply engage in the participant’s process of answering questions. It supports the research to minimize the errors and faults in collecting data.

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3.6.3. Ethical considerations

Given the fact that this present study involves the recruitment of human participants, ethics must be carefully considered. In particular, the three Belmont’s ethical principles as required for conducting social science research shall be fully respected (Respect for People, Justice, and Beneficence, Babbie, 2012). Respect for People will be complied with by giving respondents informed consent and expecting them to accept this form as an indication of their voluntary participation. Justice shall be fulfilled by ensuring that all respondents will be treated fairly during the data collection without discriminating against any subject of their demographical background (except for being above 18 years of age). Beneficence will be met as well because only taking part in a survey paper is unlikely to lead to any mental or physical threats for informants. Aside from these, the privacy of all participants shall be protected because this is a confidential study.

Before conducting the semi-structured interview, the researcher will provide all participants with general procedures and policies. The participants will receive the document of research information and consent form, which presents relevant information of the study, including the research title, research objective, time interview, personal information security, and contacts of the researcher. Additionally, the researcher will ensure that all collected data is empirically used for academic research purposes. Hence, there are no harm or risks that the participants have to experience. The process of data collection and analysis also fulfill transparency requirements and standards. Also, it meets all health and safety standards provided by Coventry University London Campus.

Chapter 4: Research Findings

This chapter presents the main research findings of the qualitative data collected from 7 participants in the in-person interview from 10 July 2020 to 24 July 2020. The results efficiently provide an in-depth investigation of the impact of leadership on motivation in the workplace through semi-structured conversations with interviewers. In addition, this chapter provides a detailed discussion and recommendation acquired from research findings. It significantly fulfills three highlighted research objectives and responds to the proposed research question.

4.1. Interview result

The semi-structured interviews are conducted with 7 Millennials employees aged

between 20 and 30 in the coffee shops in Ho Chi Minh City, Vietnam. Detailed

responses of these participants are thoroughly listed in Appendix 2 This section

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summarizes the highlights, similarities, and differences of responses related to the

semi-structured questionnaire in the research.

4.1.1. Theme (1): The experience and motives of young employees when working at coffee brands in Vietnam

Section A of the questionnaire presents different responses from 7 participants of the semi-structured interview. In general, these questions aims to gain responses that reach the research objective (1) of this paper.

Firstly, Question 1 mentions the participant’s recent experience in the coffee industry. Those who have spent from 1-2 years working in the coffee sector account for more than 50% of total respondents. Participant #1 said: “I have around two years of experience as a barista in two coffee shops, and my experience includes making and serving coffee, tea, and foods. As a barista, my responsibility is to welcome customers with coffees and other drinks, as well as to create special items and highlight differences between various kinds of coffee. I also keep updating new brewing methods, coffee blends, and drink presentations to improve the beverage quality”. The interview also shows that while two out of 7 participants have worked as cashiers or baristas for 3-5 years, only one employee has over 5-year experience in the coffee industry. Participant #4 said: “I have been working for several coffee brands since I was still a student. Let me see, it must be six years of experience. At the initial stage, I was only the part-time staff at a small coffee shop in my hometown. Then, I moved to Ho Chi Minh City and worked as a professional barista for this brand till now”. Though 7 different participants have the different number of working years, they all agreed that they have basic knowledge and work experience in the coffee industry so far. It proves that respondents from these participants could provide in-depth understandings of different aspects related to the research objectives.

Secondly, Question 2 relates to the number of years participants have been working for their current coffee brand. Five participants, in which two from popular national brands, two from global brands, and one from SME brands, responded that they have more than one year developing their career in their current workplace. Participant #2 said: “I have worked here for two years, but it is only three months that I was transferred to work as a coffee store staff in this coffee shop’s new branch in Ho Chi Minh City. You know, my job requires me to frequently change my workplace. Though it takes me much time to travel to this new branch every day, it is pretty interesting that I can meet other employees and make friends with them”. Two other participants, in which one from national brands and one from SME brands have been currently working for their coffee outlets for less than one year. “I have been working for this coffee brand as a full-time cashier for only six months. However, I am in love with every moment I spent in this place since I could learn a lot from my colleagues” – Participant #3 said.

Thirdly, when being asked about outstanding changes in the coffee industry in Question 3, there has been a particular similarity in participant responses. All

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participants propose that people tend to drink more coffee these days. “Young people in Vietnam tend to drink lots of coffee. If you go shopping in the supermarket or convenience stores, there are plenty of canned, boxed, or bottled coffee products. The RTD (ready-to-drink) coffee brands are also getting more competitive with the entry of both national and global coffee brands in Vietnam such as Starbucks, Highlands, or The Coffee House”. – Participant #4 said. Additionally, there exist highlighted differences in participant responses, including changes in preference for new coffee flavor, increase in competitions, or employee loyalty in the recent coffee industry. Participant #5 mentioned: “I think that people in Vietnam consume more coffee these days. They especially prefer coffee drinks originated in Western countries. They like to order a cup of Espresso, Latte or Mocha, take some selfies and post them on their Instagram”. In general, 7 participants have given different thoughts towards the current trend and changes in the Vietnam coffee industry based on their working experience in this sector. Hence, all factors derived from their responses can be used for further academic research on the prospects and growth of the coffee sector in Vietnam.

Lastly, Question 4 mentions the employee’s thoughts about leadership. Three out of 7 respondents agree that emotional factors, including faith, integrity, empathy, empowerment, and inspiration are the most crucial characteristics of a great manager. Participant #7 said: “Superiors with good empathy, care, and inspiration will become goods leaders since they effectively build close interaction with followers. Hence, leaders can efficiently motivate them to improve our task performance”. According to Theory Y on management, emotional factors mentioned by three respondents are regarded as the most important characteristics of transformational leaders. On the contrary, four other respondents agree that non-emotional characteristics, such as accountability, integrity, decision-making ability, IQ and EQ, innovation, and creativity make a great leader. Participant #3 said: “In my opinion, I would like to work with a great leader with strong decision-making capability, competence, and innovation, since they are well-equipped with valuable knowledge and experience that I can learn a lot from them. Those good at making decisions also make the right decisions and strategies at the right time. Hence, they could lead their followers to reach the company targets effectively”. In alignment with Theory X on management, non-emotional factors mentioned by four respondents are the most important characteristics of transactional leaders. In conclusion, all participants share their distinct and clear thoughts towards different leadership styles in the organizational context. Hence, the research significantly divides them into two main groups, including transformational and transactional management styles.

4.1.2. Theme (2): Young employee preferences for reward-based leadership or morality-based leadership

Section B of the questionnaire presents different responses from 7 participants of the semi-structured interview. In general, these questions aim to gain responses that reach the research objective (2) of this paper.

Microsoft Office User, 11/08/20,

I deleted the answer of Participant 1 for question 4 in this paragraph and the Appendix 2

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Firstly, question 5 focuses on potential things that superiors could do to motivate and improve employee performance. Three out of 7 participants mentioned that it would be more efficient to enhance their work performance due to suitable training, support, and feedback from their leaders. Participant #3 said: “I think that my working motivation and performance depend more on the training courses provided by my leaders. These training sessions provide me with a huge opportunity to acquire new knowledge and experience from my leader to achieve new success. As a result, I can improve my performance and make a more sustainable contribution to my current workplace”. According to Theory Y on management, the intangible objects, including training sessions, supervisor’s support, and feedbacks, are considered as the “individualized consideration” and “inspirational motivation” of transformational (or morality-based) leadership style. In addition, four other participants agree that they will improve their working performance more effectively when they experience good reward systems, rather than the leader’s training courses. Participant #5 said: “I support the statement that the reward and punishment systems such as extra allowance or gift cards give me the tangible motivation to work harder and reach more achievements. They also bring me a strong sense of contribution and satisfaction to improve my task performance”. In alignment with Theory X on management, the tangible objects such as reward and punishment systems are listed in the “contingent reward” of transactional (or reward-based) leadership style. Then, a larger proportion of total respondents in the research prefer tangible objects from transactional leadership, rather than intangible ones from transformational leadership.

Secondly, to answer Question 6 about the way leaders encourage employees to perform their tasks, three out of 7 participants declare that their superiors provide efficient communication, support, and encouragement to support their creativity and self-development. Participant #7 said: “My current leader understands my ambitions for future career and he provides huge opportunities for me to participate in his team and work with new projects that are useful for me to develop my future career in the coffee industry. He is also a good communicator, who can verbally connect and interact with our team members. We are a big family, I can freely express my ideas and creativity in my team”. According to Theory Y on transformational leadership, while the communication to understand employee’s desires is the aspect of “individualized consideration”, the encouragement for autonomy and self-development is the aspect of “intellectual stimulation” (Robbins and Judge, 2017). Additionally, three other participants agree that their leaders always share the common mission, vision, target, and set clear goals to reach the organizational objectives. Participant #5 said: “I can only be inspired and encouraged to work harder when I clearly understand why my current tasks are necessary to perform. Then, I really appreciate that my current leader provides different measurable goals and key performance indicators to reach this brand’s core objectives. Thanks to these measurements, I know exactly what to do to make long-term progress in my career”. In alignment with the Theory X on management, the measurable goals, KPIs, and mission relate to the “management by exception” dimension of the transactional leadership, which aims to provide the independent working space for employees to self-control their tasks (Jackson, Mayor, and Wang, 2012). Notably, Participant #1 said: “The management of my current leader fails to meet my working expectation since he does not provide the good benefits like

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allowances or rewards when I reach the common KPIs. Actually, I plan to change my job in the near future since I cannot find a common ground with him”. The responses from Participant #1 proves that he prioritizes the reward system which is provided by the transactional leadership styles in accordance with Theory X on management. Hence, four out of 7 participants show their preference for the transactional leadership, rather than transformational leadership.

Lastly, Question 7 mentions the way each participant overcomes possible challenges when working in the coffee industry. All 7 participants similarly outline that they have experienced several difficulties in their career development in recent years. “I used to struggle with connection and communication with my team members. It was so difficult that I could not complete my tasks, reach KPIs, and ultimately fail to carry out the team projects. I tried various ways to communicate with the rest of the team, but there were no responses” – Participant #6 said. Other difficulties include work pressure, unsuitable jobs, etc. in the coffee industry. Regarding the leader’s support, three participants agreed that the leader’s efficient care, training, and communication help them to develop their strengths and improve their weaknesses to overcome potential difficulties. Participant #6 said: “Thankfully, my leader frequently communicates with me. He tries to understand my problems with other teammates and then, organize the team meetings to solve the problems”. According to Theory Y on management, the particular care and attention to employees relate to the “individualized consideration” of the transformational leadership style (Zeffane and Connell, 2003). Three other participants declare that the benefits and bonuses support their self-development, and strict supervision helps them to avoid possible mistakes. Participant #2 said: “My leader tends to provide different strategies and measurable KPIs. Also, he carefully revises our frequent tasks to make sure that mistakes won’t happen. I actually think that his complaints make me be more careful when carrying out my work”. In accordance with Theory X on management, while the support for self-development relates to the “management by exception” dimension, the strict supervision and complaints relate to the “Laissez-Faire” dimension of transactional leadership style (Robbins and Judge, 2017). Notably, Participant #1 said: “Though I think that both leader support and attractive benefits support me to deal with work challenges, I prefer to receiving attractive rewards to make sure that I got recognition at my workplace”. Hence, there is a bias of the transactional leadership style in the response of Participant 1.

4.1.3. Theme 3: The linkage between organizational leadership and young employee’s motivation and commitment

Firstly, Question 8 refers to employee contribution and commitment to the coffee industry. Five of 7 participants outline that they have made a significant commitment to their coffee workplace. “After 2 years of working for this brand, I have been appointed to be the supervisor of new employees in its new branch in Ho Chi Minh City. My main responsibility is to introduce the organizational culture and the business goals towards new staff. Then, I will directly report to my leader about my progress” – Participant #2 said. Other commitments include job promotion from part-time to full-time staff, extra allowance and bonuses, as well as higher salaries. Their responses indicate that these five participants have made a

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substantial commitment to their career path. Notably, two other participants responded that they have no outstanding commitments when working for their current coffee brand. Participant #3 said: “Unfortunately, I failed to make substantial commitment after 1 year working in this coffee brand. However, when comparing to my past self, my skills are improved thanks to sufficient training and support from my leaders”. In addition, Participant #1 mentioned: “I have no outstanding commitment over two years working for this coffee shop. I feel that I got no recognition when I achieve the targets from my superiors”. Hence, there exist outstanding differences among responses from two participants with no job commitment. While Participant #3 has the motives to work harder and make more commitment thanks to the leader’s traning and support, Participant #1 is unsatisfied with his current job due to the unfair workplace, and therefore, gets demotivated to to make more progress.

Secondly, Question 9 mentions things motivate employees to engage in their current career. Two out of 7 respondents agree that the straight feedback and communication from their leaders help them be fully aware of their strengths and weaknesses that affect their career path. “I personally think that I learn a lot from my leader’s suitable advice and feedbacks. Also, I have received face-to-face conversations with my leaders regarding my self-development and career path. They provide me with a huge motivation to work harder to get more recognition” – Participant #6 said. According to SDT theory, the performance-based self-development relates to the introjected regulation of the individual’s extrinsic motivation (Deci and Gagne, 2005). Hence, the leader’s feedback and communication might lead to extrinsic motivation. Three other responses include benefits and rewards, KPIs, and promotion opportunity. “I am getting motivated to complete my task and achieve the common targets of my team since my leader provides good promotion opportunities, as well as higher salaries by the end of this year. Then, I plan to be positioned as the coffee store manager in the next three years” – Participant #2 said. In alignment with the SDT theory, the benefit and reward contingencies relate to the external regulation of extrinsic motivation in the organizational context (Deci and Gagne, 2005). Hence, the reward system might lead to extrinsic motivation. Additionally, two out of 7 respondents state that they get more motivation since their current jobs are what they desire to engage in career progress. “My initial desire is working as a professional barista in such a global workplace like this coffee shop. I have received lots of training courses from my leaders that help me to realize that barista is my desired job. Hence, it is the best motive for me to get more recognition in the coffee sector” – Participant #5 said. According to the SDT theory, the desire and interest in task relate to the intrinsic motivation of individuals (Deci and Gagne, 2005). Hence, the leader’s training and support might lead to intrinsic motivation. Participant #1 said: “Actually, thing keeps me to continually work for this coffee brand is my true desire for the barista job. The support from my leader does not work well since he cannot create the fair workplace with fair goals and good benefits”. This response argues that the shortage of sufficient leadership styles might lead to demotivation.

Lastly, four out of 7 participants agree that they are getting motivated to develop a future career path in the coffee industry when they enjoy a working environment with great interests and pleasures. “Rather than goals, rewards, and punishment systems, I prefer working with an interesting team and leaders. I find it more

Microsoft Office User, 11/08/20,

I also added the answer of Participant 1 for question 9 in the Appendix

42

ideal for me to engage in such an environment.” – Participant #7 said. On the contrary, three other respondents express that clear goals, benefits, reward systems make them continually work for their current coffee brand and try to get a promotion. “I want to develop my career path in this coffee brand since I experience the great goals and values with lots of benefits. I received higher salaries, including commissions when I achieve different goals created by my supervisor” – Participant #2 said. In alignment with the SDT theory on motivation, while the working environment with interest and pleasure refers to the intrinsic motivation, the goals and values relate to the identified and integrated regulation of extrinsic motivation (Deci and Gagne, 2005). Hence, there is a larger proportion of total participants prioritize the intrinsic motivation when developing their future career path.

4.2. Theoretical discussion

Section A of the semi-structured questionnaire presents different responses from employees who are currently working for coffee brands in Vietnam. It relates to Theme (1) of the research priori codes and reaches the research objective (1) since it covers the motives, experience, and personal thoughts of different Millennial employees in the coffee industry. In general, since 7 participants have more than one year of experience in the Vietnam coffee industry (see Question 1 and Question 2), they have developed a comprehensive knowledge of changes in this sector (see Question 3). Therefore, qualitative data from the semi-structure interview are significantly reliable and valid. Additionally, Question 4 states that 7 participants have their specific perception of the leadership styles. Though there exist different ideas towards leadership, all responses are the important characteristics that make a great leader. They (e.g., decision-making capability, competence, and innovation for transactional leadership; care, communication, and empathy for transformational leadership) are supported by the literature on Robbins and Judge (2017)’s transformational-transactional leadership. While three responses are significantly categorized into transformational leadership, four other responses relate to transactional leadership. Therefore, results from Theme 1 of the Template Analysis agrees that young employees significantly develop a comprehensive thoughts and perception of different leadership style. Additionally, it creates new findings that the Theory X and Theory Y on leadership can be applied in other industries of the agricultural sector and other non-Western cultures whose the Hofstede dimension scores are similar to Vietnam (e.g. Thailand, Indonesia, etc.)

Section B of the semi-structured questionnaire relates to Theme (2) of the priori codes. It reaches the research objective (2) since it generalizes the Millennial employee preference for either transactional or transformational leadership. According to responses from 7 participants, there are different preferences for morality-based or reward-based management styles (see Question 5), different ways that leaders encourage their performance (see Question 6), and support them to overcome their difficulties (see Question 7). These responses can be divided into two different categories, including strict non-emotional management, and emotional management. It is supported by different literature on the transactional-transformational leadership theories, including Robbins and Judge (2017); Jackson, Mayor, and Wang (2012); Naile and Selesho (2014). The results from Theme (2)

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agree that young employees in Vietnam have given distinctive preferences for either transactional or transformational leadership. There is a large proportion of the total participants prefer the reward system, rather than training and support. Hence, the research proposes new finding that the Millenials in the digital age in Vietnam tend to give preference for the transactional leadership. It disagrees the statement that Vietnam has the low uncertainty avoidance culture with low-level use of norms, informality, and goals.

Section C of the semi-structured questionnaire relates to Theme (3) of the priori codes. This reaches the research objective (3) to examine the linkage of leadership and motivation and commitment. The main findings from Theme (3) agree that there is a positive relationship between leadership and employee motivation and commitment on the basis of Millennial generation. Both transformational and transactional leadership significantly affect the intrinsic and extrinsic motivation (see Question 9). Additionally, the unsuitable leadership style might lead to employee demotivation (see Question 9). Hence, it agrees with previous literatures on transformational leadership and motivation by Avolio et al. (2009); Mary (2005); Thoonen et al. (2011); Anujum, Abbas, and Sajid (2017), and transactional leadership and motivation by Judge, Piccolo, and Ilies (2004); Webb (2017); Ali (2018). Additionally, 7 participants have different responses towards different types of motivation that encourage them to develop their career path (see Question 10). These responses relate to previous literature on the SDT motivation theory by Deci and Gagne (2005). They propose new findings that the intrinsic motivation might be the most important motive that help employees to develop their career.

Theme (3) also provides a close relationship between employee motivation and commitment in the coffee chain sector. All responses from 7 participants argue that they tend to make a substantial contribution to their current workplace when they are being motivated and recognized by their leaders (see Question 8). It proposes a positive linkage between work satisfaction, motivation, and effective management strategies. Hence, results from Theme (3) agrees with previous literature on the relationship between employee motivation and commitment by Madjar, Oldham, and Pratt (2002); Meyer, Becker, and Vandenberghe (2004).

4.3. Chapter summary

The purposive sampling technique provides the study with outstanding advantages since it supports the researcher to select suitable participants based on their particular characteristics such as age, or gender. This leads to an increase in the validity and reliability of the survey. Then, research findings from this chapter significantly focus on the perception and understandings of Millennial generation towards this topic. It is evident to conclude that the research question about the relationship between leadership and employee motivation in the Vietnam coffee industry is significantly answered. Specifically, effective leadership styles (either transformational or transactional) positively influence and enhance employee levels of motivation, satisfaction, and commitment at work. Yet, these findings could be more strengthen when the research is conducted with larger sample size.

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Chapter 5: Conclusion and recommendation

5.1. Conclusion

In conclusion, there has been a variety of theories and research on employee motivation and leadership styles in an attempt to identify the contribution of employee motivation to organizational development. Previous studies on the linkage of motivation and leadership have given a way to generalize understandings of human perceptions towards different factors that affect employee motivation and leadership.

In the coffee industry in Vietnam, there has been a significant increase in the motivation demand of Millennial employees. Yet, few empirical studies conducted from the perspectives of Millennial employees in Vietnam to better understand their perception and preference. Millennial employees are also unaware of the role of leadership strategies in getting motivated and increasing their working commitment. Additionally, previous research on leadership-employee motivation linkage has primarily implemented based on the general context with various industries. Hence, it leaves the question that whether the results from previous research are applicable in a certain context.

The core mission of this study is to identify and fill the underlying gaps in previous literature, regarding a specific context of non-Western culture. Hence, it focuses on the young employees of Millennial generation in Vietnam and their understandings to answer the research question “How do leadership styles of Coffee chain’ management influence employee motivation and commitment in Viet Nam?”. Along with this question, three highlighted research objectives were proposed and analyzed in the research.

The main findings from the research significantly fulfill the research objectives and answer the research question. It proposes that broad theories on leadership and motivation are applicable for further academic research in other agricultural sectors of different non-Western countries. Yet, an outstanding limitation of this study is that it collects the qualitative data from a small sample size of the Millennial employees in the coffee industry. Consequently, the application of research findings from this paper might be restricted in a contemporary context

5.2. Recommendation

While the research has identified the implications for the relationship of leadership and employee motivation in the Vietnam coffee industry, this paper proposes three following recommendations for further research:

- The internal factors that significantly affect the intrinsic motivation of employees

such as teamwork, human resources event, or gamification should be examined

(see studies conducted by Deci and Gagne (2005))

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- The sample size for further research should be increased. The sample size

should include perception and thoughts of different management levels,

including both superior and followers (see studies conducted by Ali (2018))

- The scope of research should be expanded to provide an academic comparison

between the motivation of different generations of employees (see studies

conducted by Webb (2017))

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Appendix 1: QuestionnaireSECTION A1. Can you tell me about your recent experience in the coffee industry?

2. How long have you been working for this brand? Can you describe your current

position in this brand?

3. In your experience so far, how have you seen the coffee industry change?

4. Regarding leadership, could you describe three most important characteristics you

expect from a great leader?

SECTION B 5. How would you think about the statement that comprehensive management,

punishment and reward systems can efficiently improve your performance, rather

than your leader’s training, support and inspiration?

6. How does your current leader encourage you to perform your tasks?

7. Can you describe your difficulties working with a team so far? How would your

current leader support you to overcome these difficulties?

SECTION C8. Can you describe your outstanding commitment to this brand so far?

9. What motivates you to work for your team and engage in activities provided by

your team leader?

10.To what extent would you agree that your leader provides you with interests and

pleasures, rather than goals, reward and punishment, to develop your career path

in the coffee industry?

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Appendix 2: Sample of Interview TranscriptQuestion 1: Can you tell me about your recent experience in the coffee industry?

Participant #1: “I have around two years of experience as a barista in two coffee shops, and my experience includes making and serving coffee, tea, and foods. As a barista, my responsibility is to welcome customers with coffees and other drinks, as well as to create special items and highlight differences between various kinds of coffee. I also keep updating new brewing methods, coffee blends, and drink presentations to improve the beverage quality”

Participant #4: “I have been working for several coffee brands since I was still a student. Let me see, it must be six year of experience. At the initial stage, I was only the part-time staff at a small coffee shop in my hometown. Then, I moved to Ho Chi Minh City and worked as a professional barista for this brand till now”

Question 2: How long have you been working for this brand? Can you describe your

current position in this brand?

Participant #2: “I have worked here for two years, but it is only three months that I was transfered to work as a coffee store staff in this coffee shop’s new branch in Ho Chi Minh City. You know, my job requires me to frequently change my workplace. Though it takes me much time to come to this new branch everyday, it is pretty interesting that I can meet other employees and make friends with them”.

Participant #3: “I have been working for this coffee brand as a full-time cashier for only six months. However, I am in love with every moment I spent in this place since I could learn a lot from my colleagues”.

Question 3: In your experience so far, how have you seen the coffee industry

change?

Participant 4: “Young people in Vietnam tend to drink lots of coffee. If you go shopping in the supermarket or convenience stores, there are a plenty of canned, boxed, or bottled coffee products. The RTD (ready-to-drink) coffee brands are also getting more competitive with the entry of both national and global coffee brands in Vietnam such as Starbucks, Highlands, or The Coffee House”

Participant #5: “I think that people in Vietnam consume more coffee these days. They especially prefer the coffee drinks originated from Western countries. They like to order a cup of Espresso, Latte or Mocha, take some selfies and post them on their Instagram”

Question 4: Regarding leadership, could you describe three most important

characteristics you expect from a great leader?

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Participant #7: “Superiors with good empathy, care, and inspiration will become goods leaders since they effectively build close interaction with followers. Hence, leaders can efficiently motivate them to improve our task performance”

Participant #3 said: “In my opinion, I would like to work with a great leader with strong decision-making capability, competence and innovation, since they are well-equipped with valuable knowledge and experience that I can learn a lot from them. Those good at making decision also make the right decisions and strategies at the right time. Hence, they could lead their followers to reach the company targets effectively”.

Question 5: How would you think about the statement that comprehensive

management, punishment and reward systems can efficiently improve your

performance, rather than your leader’s training, support and inspiration?

Participant #3: “I think that my working motivation and performance depend more on the training courses provided by my leaders. These training sessions provide me with a huge opportunity to acquire new knowledge and experience from my leader to achieve new success. As a result, I can improve my performance and make a more sustainable contribution to my current workplace”.

Participant #5 said: “I support the statement that the reward and punishment systems such as extra allowance or gift cards give me the tangible motivation to work harder and reach more achievements. They also bring me a strong sense of contribution and satisfaction to improve my task performance”.

Question 6: How does your current leader encourage you to perform your tasks?

Participant #7: “My current leader understands my ambitions for future career and he provides huge opportunities for me to participate in his team and work with new projects that are useful for me to develop my future career in the coffee industry. He is also a good communicator, who can verbally connect and interact with our team members. We are a big family, I can freely express my ideas and creativity in my team”.

Participant #5: “I can only be inspired and encouraged to work harder when I clearly understand why my current tasks are necessary to perform. Then, I really appreciate that my current leader provides different measurable goals and key performance indicators to reach this brand’s core objectives. Thanks to these measurements, I know exactly what to do to make long-term progress in my career”.

Participant #1: “The management of my current leader fails to meet my working expectation since he does not provide the good benefits like allowances or rewards when I reach the common KPIs. Actually, I plan to change my job in the near future since I cannot find a common ground with him”.

Question 7: Can you describe your difficulties working with a team so far? How

would your current leader support you to overcome these difficulties?

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Participant #6: “I used to struggle with connection and communication with my team members. It was so difficult that I could not complete my tasks, reach KPIs, and ultimately fail to carry out the team projects. I tried various ways to communicate with the rest of the team, but there were no responses. Thankfully, my leader frequently comunicates with me. He tries to understand my problems with other teammates and then, organize the team meetings to solve the problems”

Participant #2: “My leader tends to provide different strategies and measurable KPIs. Also, he carefully revise our frequent tasks to make sure that mistakes won’t happen. I actually think that his complaints make me be more careful when carrying out my work”.

Participant #1: “Though I think that both leader support and attractive benefits support me to deal with work challenges, I prefer to receiving attractive rewards to make sure that I got recognition at my workplace”.

Question 8: Can you describe your outstanding commitment to this brand so far?

Participant #2: “After 2 years of working for this brand, I have been appointed to be the supervisor of new employees in its new branch in Ho Chi Minh City. My main responsibility is to introduce the organizational culture and the business goals towards new staff. Then, I will directly report to my leader about my progress”.

Participant #3: “Unfortunately, I failed to make the substantial commitment after 1 year working in this coffee brand. However, when comparing to my past self, my skills are improved a lot thanks to sufficient training and support from my leaders”.

Participant #1: “I have no outstanding commitment over two years working for this coffee shop. I feel that I got no recognition when I achieve the targets from my superiors”.

Question 9: What motivates you to work for your team and engage in activities

provided by your team leader?

Participant #6: “I personally think that I learn a lot from my leader’s suitable advice and feedbacks. Also, I have received face-to-face conversations with my leaders regarding my self-development and career path. They provide me with a huge motivation to work harder to get more recognition”.

Participant #2: “I am getting motivated to complete my task and achieve the common targets of my team since my leader provides the good promotion opportunities, as well as higher salaries by the end of this year. Then, I plan to be positioned as the coffee store manager in the next three years”.

Participant #5: “My initial desire is working as a professional barista in such a global workplace like this coffee shop. I have received lots of training courses from my leaders that help me to realize that barista is my desired job. Hence, it is the best motive for me to get more recognition in the coffee sector”.

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Participant #1: “Actually, thing keeps me to continually work for this coffee brand is my true desire for the barista job. The support from my leader does not work well since he cannot create the fair workplace with fair goals and good benefits”.

Question 10: To what extent would you agree that your leader provides you with

interests and pleasures, rather than goals, reward and punishment, to develop your

career path in the coffee industry?

Participant #7: “Rather than goals, rewards, and punishment systems, I prefer working with an interesting team and leaders. I find it more ideal for me to engage in such environment”.

Participant #2: “I want to develop my career path in this coffee brand since I experience the great goals and values with lots of benefits. I received higher salaries, including commissions when I achieve different goals created by my supervisor”.

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Appendix 3: The detailed “priori codes” template and data collected

4. The experience and motives of young employees in domestic coffee brands

4.1. The recent experience in the coffee industry

- Number of experience year

4.2. The employees’ number of working year and position in their current

coffee shops

- Number of current working year

- Current position (barista, cashier, new employee supervisor, coffee store

staff)

4.3. Changes in the coffee industry

- Increase in consumer demand

- Various in coffee flavour

- New entry of canned coffee products

- Increase in competitive market

- Preference for organic coffee or Western coffee

4.4. Important characteristics of leaders

- Faith and integrity

- Empowerment and inspiration

- Empathy and communication

- Decision-making capability

- Competence

- Innovation

5. Preference for morality-based or reward-based leadership

5.1. Employee perception of transformational or transactional leadership

- Non-emotional factors:

Goals

Vision

Mission

KPIs

- Emotional factors:

Empathy

Support

Communication

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Training and development

5.2. Employee experience of transformational or transactional leadership

- Training and support

- Allowance and benefit

5.3. Employee preferences for transformational or transactional

leadership

- Preference for comprehensive reward systems

- Preference for training and support

6. Linkage between leadership and motivation and commitment

6.1. Employee perception of intrinsic or extrinsic motivation

- Intrinsic motivation:

Interest and pleasure

Desire

- Extrinsic motivation:

Reward

Benefit

Common goal and value

6.2. Linkage between intrinsic or extrinsic motivation and leadership styles

- Benefits and rewards lead to intrinsic or extrinsic motivation- Interest and pleasure lead to intrinsic or extrinsic motivation

6.3. Employee commitment

- Promotion

- Extra allowance and bonuses

- Higher salaries

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