The Context of Environment and Strategic Management Affecting the Growth of Small and Medium Enterprises (SMEs) in Lampang Province

Abstract

   The purposes of this research were to examine the level of opinion towards the context of strategic management and the growth of small and medium enterprises (SMEs), and to investigate the context of strategic management affecting the growth of small and medium enterprises (SMEs) in Lampang province. The samples were 460 SME entrepreneurs in Lampang province. This survey research employed questionnaire as research instrument. The data was analyzed for descriptive statistics including frequency, percentage, and standard deviation while inferential statistics employed structural equation model using Smart PLS 2.0 M3 software in analyzing correlation of variables.
   The results showed that majority of entrepreneurs were female, aged between 31-40 years old, holding education level lower than bachelor degree, business setting located in Lampang district, business solely operated by the owner, business operation less than 3 years, staff not exceeding 15 employees, business establishment using personal capital. The respondents showed their opinion towards the strategic management at the highest while external and internal environment was rated at the high level and finally the growth of enterprises was ranked at the medium level. The analysis by structural equation model indicated that the external environment held direct effect towards the growth of enterprises, followed by internal environment held direct effect towards the growth of enterprises, internal environment held direct effect towards strategic management, external environment held direct effect towards strategic management, and finally strategic management held direct effect towards the growth of enterprises.