Development of Causal Model Affecting the Operation of Small and Medium-Sized Enterprises in the Retail Business in Bangkok

Abstract

      This research aimed to: 1) develop the casual model of SMEs in retail industry sector in Bangkok Metropolitan area; 2) study the influences of marketing mix, strategic management, and knowledge management on retail industry’s SMEs in the area; and 3) present the development guidelines for implementing the operation of the said sector.

The research was a mixed methods research with simple random sampling, having 400 samples.  In terms of qualitative approach, purposive method was applied at the amount of 17, who were SME executives, staffs from BOI from OSMEP, and from the Ministry of Labor. The tool for collecting data was a questionnaire; and the statistical tools being applied were percentage, mean, standard deviation and AMOS for SEM.

      The research reveals that: 10 the causal model of SME in retail business in Bangkok Metropolis area are marketing mix, strategic management, knowledge management and business operation; 2) the influence of marketing mix, strategic management and knowledge management have direct and indirect effects towards SME operation; and 3) the guidelines for strategic planning and operation of SMEs identify that the relationship among causal latent variables has an effect on all variables of operation.