IISES International Academic Conference, Venice

THE INFLUENCE OF BUSINESS TRAITS AND VALUE CHAIN MANAGEMENT ON THE BUSINESS COMPETITIVENESS IN THE NORTHEASTERN BORDER TRADE AREA OF THAILAND

PICHYADA PHEUNPHA, KIENGKWAN UGSORNWONG

Abstract:

The research examined the influence of business traits and value chain management on business competitiveness in Thailand's northeastern border trade area. A questionnaire with a reliability coefficient (0.95) at a very high level was used in this study. Area sampling collected 307 small and medium enterprises from Ubon Ratchathani and Mukdahan provinces. The statistics were analyzed using descriptive statistics and multiple regression. The results showed that thirteen sub-independent variables correlated with business competitiveness at a very high level (r = 0.85) and can explain or predict the variance of business competitiveness at a high level of 70.7% (Adjusted R-Squared). Six variables affected the business competitiveness with statistical significance at 0.01** and 0.05*, which were technology development (β = 0.35**), marketing and sale (β = 0.29**), procurement (β = 0.16**), province of business (β = 0.15**), human resource management (β = 0.14**), and service (β = 0.14) *, respectively. Therefore, entrepreneurs in the Northeastern border trade area of Thailand should (1) invest in technologies that streamline operations along the value chain, (2) develop targeted marketing campaigns that resonate with local and regional markets, (3) focus on building solid relationships with suppliers to secure better terms and reliable quality, (4) understand and capitalize on the unique characteristics of the local market, (5) implement comprehensive training programs to develop employee skills and knowledge, and (6) focus on providing exceptional customer service. Moreover, entrepreneurs should continuously evaluate the effectiveness of these strategies through performance metrics and adjust as needed to ensure ongoing competitiveness. Entrepreneurs can leverage the identified variables to enhance their competitiveness and drive regional growth by focusing on these critical areas.

Keywords: Business Traits, Value Chain Management, Business Competitiveness, SMEs