Moderating Role of Digital Transformation in the Brand Image and Competitive Capacity Relationship: A Case Study of the Commercial Banks in Vietnam

In an increasingly competitive and digitally driven banking environment, understanding the key determinants of competitive capacity has become a strategic priority for commercial banks, particularly in emerging economies. This study aims to identify and examine the factors affecting competitive capacity in Vietnamese commercial banks by integrating intellectual capital, organizational culture, and digital transformation into a unified analytical framework. A mixed-methods approach was employed. First, qualitative discussions with 45 bank managers in Ho Chi Minh City were conducted to develop and refine the measurement scales. Subsequently, a quantitative survey was administered to banking service users in Ho Chi Minh City and Dong Nai province, yielding 654 valid responses from 700 distributed questionnaires. The data were analyzed using Partial Least Squares Structural Equation Modeling with SmartPLS 4.0. The empirical results indicate that brand image, human capital, structural capital, relationship capital, organizational culture, and digital transformation all positively and statistically significantly affect competitive capacity. Among these factors, relationship capital emerges as the most influential determinant. In addition, digital transformation not only directly enhances competitive capacity but also significantly moderates the relationship between brand image and competitive capacity, strengthening the impact of brand value in digitally advanced banks. This study contributes to the literature by providing empirical evidence from an emerging-market banking context and by highlighting the strategic role of digital transformation in leveraging intangible resources. The findings offer practical implications for bank managers and policymakers seeking to enhance sustainable competitiveness in the digital era.