Vietcombank, as a commercial bank in Vietnam, serves the purpose of providing banking

services to individuals, businesses, and organizations in the country. It operates under the rules
and regulations set by the State Bank of Vietnam and follows a hierarchical organizational
structure. The bank's stakeholders include customers, shareholders, employees, regulators,
and the community. Vietcombank engages in various economic activities such as accepting
deposits, providing loans, offering financial products and services, and participating in treasury
operations and capital markets. By adhering to regulations and meeting the financial needs of
its stakeholders, Vietcombank contributes to the development of the banking sector and the
overall economic growth of Vietnam.

The implementation of zero-fee transfers by Vietcombank has had a significant impact on the
bank. This move has been made possible due to the cost savings achieved through e-banking
services, which have reduced operating and administrative costs (Poon, 2007). By offering
lower or no service fees, Vietcombank has been able to attract more customers and increase its
customer base. This has also allowed the bank to offer higher interest rates on interest-bearing
accounts, making it more competitive in the market (Poon, 2007). The adoption of e-banking
services, including zero-fee transfers, has been found to be influenced by various factors.
Privacy and security are major sources of dissatisfaction for users, and addressing these
concerns is crucial for ensuring customer satisfaction (Poon, 2007). Convenience, accessibility,
design, and content are sources of satisfaction for users, and these factors contribute to the
success of e-banking services (Poon, 2007). Additionally, the speed of transactions, availability
of product features, and reasonable service fees and charges are critical to the adoption of e-
banking services (Poon, 2007). The impact of zero-fee transfers on the bank's profitability and
stability can be understood by examining the concept of revenue diversification. While fees and
commission incomes have been found to have a negative impact on the profitability and stability
of commercial banks, other non-interest income, such as zero-fee transfers, can have a positive
impact (Nisar et al., 2018). Revenue diversification into non-interest income, including zero-fee
transfers, has been found to have a positive impact on the profitability and stability of
commercial banks (Nisar et al., 2018). However, it is important to note that the impact of
revenue diversification on bank performance and stability can vary depending on the specific
types of non-interest income-generating activities (Nisar et al., 2018). In conclusion, the
implementation of zero-fee transfers by Vietcombank has had a positive impact on the bank. By
offering lower or no service fees, the bank has been able to attract more customers and
increase its customer base. The adoption of e-banking services, including zero-fee transfers, is
influenced by factors such as privacy, security, convenience, accessibility, design, content,
speed, and reasonable service fees and charges. Revenue diversification into non-interest
income, including zero-fee transfers, can have a positive impact on the profitability and stability
of commercial banks. However, the impact of revenue diversification can vary depending on the
specific types of non-interest income-generating activities.

References:

Nisar, S. et al. (2018) ‘The impact of revenue diversification on bank profitability and
stability: Empirical evidence from South Asian countries’, International Journal of Financial
Studies, 6(2), p. 40. doi:10.3390/ijfs6020040.
Poon, W. (2007) ‘Users’ adoption of e‐banking services: The Malaysian Perspective’,
Journal of Business & Industrial Marketing, 23(1), pp. 59–69.
doi:10.1108/08858620810841498.