Confirmatory Factor Analysis of Absorptive Capacity and Competitiveness of Small and Medium-Sized Enterprise of Thailand’s Gems and Jewelry Industry

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Phimkarnda Jundahuadong Sujinda Chemsripong

Abstract

     The objective of this research was to synthesize and analyze the confirmatory factors of absorptive capacity and competitiveness of small and medium-sized enterprises (SMEs) of Thailand's gems and jewelry industry according to the hypothesis model and empirical data. The sample of this research was 270 SME executives or entrepreneurs. Multi-Stage-Sampling was used to select the sample. Data were analyzed with Confirmatory Factor Analysis. The results of this study indicated that 1) there were 10 causal factors of absorptive capacity in three aspects, were ordered based on highest to lowest factor loading as follows: environmental turbulence, external source, and social integration mechanism. The factor loading values of three factors were 0.65, 0.54 and 0.43, respectively. The model was consistent with empirical data. 2) There were 8 causal factors of competitiveness in three aspects, were ordered based on highest to lowest factor loading as follows: potential capacity, realize capacity, and competitiveness. The factor loading values of three factors were 0.86, 0.71, and 0.40, respectively. The model was consistent with empirical data (X2 - test = 16.20, df = 13, p-value = 0.24, CFI = 1.00, GFI = 0.99, AGFI = 0.96, RMSEA = 0.030, SRMR = 0.021) Which is a model that is suitable for use in the context of SME’s that use primary technology in Thailand.


Keywords: Confirmatory Factor Analysis, Absorptive Capacity, Competitiveness, Small and Medium-Sized Enterprise, Thailand’s Gems and Jewelry Industry

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Section
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How to Cite
JUNDAHUADONG, Phimkarnda; CHEMSRIPONG, Sujinda. Confirmatory Factor Analysis of Absorptive Capacity and Competitiveness of Small and Medium-Sized Enterprise of Thailand’s Gems and Jewelry Industry. Journal of Community Development Research (Humanities and Social Sciences), [S.l.], v. 12, n. 4, p. 68-79, nov. 2019. ISSN 2539-5521. Available at: <http://www.journal.nu.ac.th/JCDR/article/view/Vol-12-No-4-2019-68-79>. Date accessed: 19 nov. 2019. doi: https://doi.org/10.14456/jcdr-hs.2019.35.