Causal factors affecting the business performance of Thai fruit wholesaling

Abstract

This research aims to study causal factors affecting the performance of the Thai fruit wholesaling. The objectives were to 1) study the level of focus on entrepreneurial orientation, value creation, service innovation, and business performance of Thai fruit wholesalers in Talaad Thai, Pathum Thani Province, 2) to create and test the structural equation model of the entrepreneurial orientation, value creation, service innovation and business performance of Thai fruit wholesalers in Talaad Thai, Pathum Thani Province, 3) to study the direct effect and indirect effect of entrepreneurial orientation, value creation, and service innovation influencing the business performance of Thai fruit wholesalers in Talaad Thai, Pathum Thani Province. The sample group used in this research consisted of 600 Thai fruit wholesalers in Talaad Thai, Khlong Nueng, Subdistrict Khlong Luang, District Pathum Thani Province. The instrument used for the data collection was a questionnaire using accidental sampling. Descriptive statistics such as frequency, percentage, mean, standard deviation, and inferential statistics such as correlation coefficient (r) and structural equation model (SEM) were used to evaluate the data. The research results revealed that the elements of the entrepreneurial orientation factors, value creation, service innovation, and business performance were, on average, at the highest level. When testing the relationship between every element in the entrepreneurial orientation factor, value creation, service innovation, and the business performance were found to have a statistically significant relationship. In the analysis of the structural equation model (SEM), it was found that service innovation was directly influenced by entrepreneurial orientation with a statistical significance of 0.01 with a coefficient of 0.877, and 77 percent of causal variables were predicted. The business performance was directly influenced by an entrepreneurial orientation, value creation and service innovation with 0.92, -0.49 and 0.49, respectively, indirectly influenced by entrepreneurial orientation with -0.064. The highest total effect on entrepreneurial orientation was 0.880. The entrepreneurial orientation and service innovation had a significant impact on business performance at 0.01 and had predictive coefficients of 78% and 85%, respectively.