STRUCTURAL EQUATION MODELING OF FACTOR AFFECTING SMALL THAI FABRIC PRODUCT ENTERPRISES IN THAI SOUTHERN BORDER PROVINCE
DOI:
https://doi.org/10.14456/lsej.2024.1Keywords:
structural equation modeling, thai fabric product, southern border province of ThailandAbstract
The objectives of this study were 1) to investigate the factors affecting the operating efficiency of small enterprises producing Thai fabric products in the southern border provinces of Thailand and 2) to analyze the structural equation modeling of the factors affecting operating efficiency. Small enterprises work on Thai fabric products in the southern border provinces of Thailand. A combination of quantitative and qualitative research was used for the study. For the quantitative research, 340 business owners, managers or directors of small businesses working on Thai fabric in the southern border provinces of Thailand were interviewed. The instruments used in the study included interviews, questionnaires, and observation questionnaires. Reliability and validity were assessed and scored 0.912. The statistics used for data analysis are mean and standard deviation, structural equation modeling, causal influence analysis, and confirmatory component analysis of latent variables. The statistics used in the data analysis are mean and standard deviation. Structural equation modeling, causal influence analysis and confirmatory component analysis of the latent variables. The results of the study show that the structural equation modeling of factors affecting the operating efficiency of small firms producing Thai fabric products in the southern border provinces. It consists of three latent variables that are independent variables, namely internal factors (INF), external factors (EXF), and entrepreneurship (ENT), and one latent variable that is the dependent variable, namely labor efficiency (EFF). The structural equation modeling (SEM) analysis yielded the following index values: Chi-square = 7.554, Chi-square/df = 1.511, df = 5, P = 0.183, CFI = 0.995, RMR = 0.028, GFI =0. 978, RMSEA = .034, and each observed variable is statistically significant at the 0.05 level, indicating that the indicator or observed variable with a value between 0.45-0.69 reliably represents the group of latent variables.
References
Allah D. Structure equation modelling of factors affecting export performance of Raw Woven Fabric Manufacturing Sector of Pakistan. USA: The Mattingley; 2020.
Hair JF, Black WC, Babin BJ, Anderson RE. Multivariate data analysis (7th ed.). Upper Saddle River, NJ: Prentice Hall; 2010.
Jindasak C. Structural model affecting the management efficiency of tuna exporting industry in Thailand. Doctor of Philosophy Thesis, Academic Field: Industrial Technology Management, Faculty of Technology, Industry, Muban Chombueng Rajabhat University; 2022.
Kerdphon A. Dialogue process for peace Bangkok. B. Magic and Pixel Works Studio Co., Ltd; 2019.
Kothathana T. Relationship between risk management efficiency and operating results. Carrying out a balanced operation of small and medium sized enterprises in Bangkok. Industrial Technology Journal 2018;14(3):106-115.
Lee KJ, Larry RP. Operations management, processes and value chains. New Delhi: Pearson Education; 2002.
Leopairot K, Thamsathitdet P. Action plan for promoting small and medium sized enterprises. Sectors of the textile and clothing industry. Office of Small and Medium Enterprises Promotion; 2022.
Lorsunni M. Increasing productivity in a canned tuna processing factory. Master of Engineering Thesis in Engineering Management Graduate School Siam University; 2019.
Lumpkin GT, Dess GG. Clarifying the entrepreneurial orientation construct and linking it to performance. Academy of Management Review 1996;21(1):138-149.
Miltenburg J. Computation complexity of algorithms for MRP and JIT production planning problems in enterprise resource planning system. Journal of Production Planning & Control 2001;12(2):198-209.
Pannarai T. Factors affecting the work efficiency of personnel. Provincial administrative organization songkhla. Master of Public Administration Thesis. Department of Public Administration Prince of Songkla University; 2022.
Permchat N, Kerdpitak C, Busaba K. Business operations model of community enterprises. Agricultural products to raise commercial quality. Muban Chom Bueng Rajabhat University Research Journal Humanities and Social Sciences 2018;6(2):21-22.
Petchuay P, Paijit P, Rodsisen R. Characteristics of entrepreneurs that affect the success in management of small and medium sized enterprises. A case study of the oil palm industry in Surat Thani Province. Journal Management Science 2021;8(1):107-122.
Phlee M. External environment and expectations of border entrepreneurs: a case study of Tak Bai district, Narathiwas province. Master of Business Administration Degree Department of Business Administration, Graduate School, Yala Rajabhat University; 2017.
Sadoyu S. and Taisaeng S. Factors in work performance that affect efficiency in Work performance of employees of Elek and Eltech (Thailand) Co., Ltd. Pathum Thani Province. Journal of Management Science Review 2022;24(2).
Somanam N. Structural equation modeling of factors affecting the operation of the orchid industry for export in the lower central region of Thailand. Doctor of Philosophy Degree, Field of Study: Management Industrial Technology, Faculty of Industrial Technology, Muban Chom Bueng Rajabhat University; 2022.
Songkhla, Pattani, Yala, Narathiwat Provincial Community Development Office, Number of Thai fabric product businesses, Department of Community Development Ministry of Interior; 2023.
Thanhakorn T, Pasunon P. Factors of success in business operations. Small and medium enterprises (SMEs) in Hat Yai District, Songkhla Province. Journal of Management Science 2019;9(1):109-110.
Wiwatsunthornkul T. Business plan for producing sportswear and digitally screened shirts as an Original Equipment Manufacturer (OEM). Business Plan for Producing OEM Sport Shirts and Screen. Independent research is part of the course study. Master of Management Entrepreneurship, Bangkok University; 2021.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2024 Life Sciences and Environment Journal
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
Each article is copyrighted © by its author(s) and is published under license from the author(s).
0-5526-7000 Ext. 7214
