Effects of Entrepreneurship, Organization Capability, Strategic Decision Making and Innovation toward the Competitive Advantage of SMEs Enterprises

Abstract

The effect of entrepreneurship, organization capability, the strategic decision making and the innovation toward the competitive advantage of SME’s enterprise research was the quantitative research by using questionnaire as the research tools in collecting and compiling data from 596 small and medium business entrepreneurs in 4 provinces, i.e. Chiangrai, Chiangmai, Lamphun and Lampang province in Northern region. The data analysis was conducted by applying descriptive statistics of frequency, percentage and standard deviation and the inferential statistics with PLS Graph.The research outcomes revealed that the gender of male and female of the sample groups were within similar ratio, with average age of 31-40 years old and 41-50 years old within the similar proportion of 26%, with approximately half were married, with educational level of lower than the secondary school or equivalent and followed by the bachelor degree, with single ownership and company limited as the most portions, with service business and followed by the commercial business, with business in Lampang province at the most, with the experience of 1-3 years, using private capital for business and with employees of less than 10 persons.The opinions of entrepreneurship, organization capability, strategic decision making, innovation and the competitive advantage factors were all at high level. The majority of variables were with positive relationship, the entrepreneurship factor had direct effect toward the strategic decision making factor and the organization capability. The organization capability factor had direct effect toward the strategic decision making factor and innovation. The strategic decision making factor had direct effect toward the innovation. Lasting the innovation factor had the most direct effect toward the organization capability.

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