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The purpose of this research was (1) to study the factors of reputation, trust groups, network participation, marketing capability, product innovation and competitive advantages of Lanna enterprise clusters in Thailand. (2) to study the integrated potential of manufacturing business strategies influencing the competitive advantage of Lanna Enterprise Clusters in Thailand. A mixed methodology research with a sampling group of 131 was used in this study. This research used a census survey. The research tools used were questionnaires and in-depth interviews. Descriptive statistic was applied to analyze percentage, average, standard deviation, skewness, kurtosis, reliability, and deviation. Inferential statistic was used to analyze the effects of structural relationship with the AMOS 7.0 program. The confirmatory factor analysis revealed that the applied variable measurement model conformed with the theory by observing variables having solution values between 0.820-1.000, with an average variance value between 0.678-0.849, and reliability value between 0.907-0.968. The structural casual relationship model conformed with empirical data χ2 = 236.42, df = 230, 2/ df = 1.028, GFI = 0.989, CFI = 0.998, RMR= 0.026, RMSEA = 0.015 by the group 's reputation had the highest value and sequence followed by network participation, product innovation, marketing capability, and competitive advantage. The integrated potential of manufacturing business strategy and analysis of factors influencing the integrated potential of manufacturing business strategies influencing the competitive advantage of the Lanna enterprise clusters revealed that group trust had the most direct effect on marketing capability followed by reputation, and lastly, network participation. The most important factors influencing the product innovation was network participation followed by reputation. As for the trust group, it had no support on product innovation. The most direct effect on the competitive advantage was product innovation, followed by marketing capability. In addition, both the reputation and the network participation had an indirect influence on the competitive advantage through the marketing capabilities and product innovation. The group trust factor had an influence indirectly through competitive advantage in the marketing capabilities, but did not influence product innovation. The outcomes of both quantitative and qualitative research revealed that the competitive advantage of Lanna enterprise clusters in Thailand was derived from marketing capability potential and outstanding product innovation.
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