Exploring the Competitiveness for Sustainability of Agro-processing Businesses in Thailand
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Abstract
Small and medium-sized enterprises (SMEs) in the agro-processing industry play an important role in the Thai economy. However, market changes and intense competition require SMEs to continuously develop their competitive potential. This research investigates the competitive potential for sustainability of agro-processing businesses in Thailand to find the factors that increase the competitive potential for sustainability with dynamic capabilities and innovation, to show the strengths and weaknesses, and to suggest solutions. This research uses a qualitative methodology through in-depth interviews with 20 owners and senior managers in the canned vegetable and fruit processing industry, along with document study and non-participant observation. The results of the study found that the factors of perception, search, grasping, shifting and reshaping of dynamic capabilities affect the competitive potential of SMEs through innovation. However, it was also found that many agro-processing businesses still lack sustainability due to the high risk of long-term planning, lack of knowledge and skills, lack of investment budget, and lack of cooperation with the government. Therefore, this research provides solutions to entrepreneurs and the government to help support agro-processing businesses in canned vegetables and fruits to successfully overcome this barrier to sustainability.
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