The Implication of Thai BCG model and stakeholder pressure: a case study from the cassava-based company perspective

Ruethai Onbhuddha; Bingying Ma; Yasuyuki Kono; Seiichi Ogata

Authors

Ruethai Onbhuddha Graduate School of Energy Science, Kyoto University
Bingying Ma Graduate School of Energy Science, Kyoto University
Yasuyuki Kono Institute for the Future of Human Society, Kyoto University
Seiichi Ogata Graduate School of Energy Science, Kyoto University

Keywords:

Stakeholders Theory, Sustainable Business, Stakeholder Pressure

Abstract

Recently, the Thailand Bio-Circular-Green (BCG) model has been announced to enhance sustainable development nationwide. Businesses are crucial in fulfilling this mission, especially in the agriculture sector. Sustainable business management involves various stakeholders, including the primary and secondary groups. The stakeholder pressures also influence the sustainable practices in the organization. Therefore, this study’s objective is to evaluate the direct pressure of stakeholder groups on sustainable practices in the company through a questionnaire survey from employee perspectives as a bottom-up approach. This study conducted a case study at Ubon Bio Ethanol Company Limited, a cassava-based producer adopting the BCG model. A mixed-methods approach was employed to analyze the results, incorporating both qualitative and quantitative techniques. Specifically, information entropy and regression analysis were applied to examine the data. The results showed that the suppliers and communities are significant primary stakeholder groups that drive sustainable capital. The secondary group’s main drivers are the government, competitors, customer advocates, non-profit organizations, and media. This shows that coercive and normative factors are the main factors in integrating BCG, especially the government’s research and facilitation support, and the company’s sustainability practices. Lastly, stakeholder management is an outstanding practice in the BCG-based company. In summary, economics and society are significant priorities in fulfilling this alternative pathway to success in a sustainable business.

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