The Key Success Factors for Small and Medium Enterprises in Muang Hadyai, Songkha Province

Abstract

The objectives of the study was to 1) determine SMEs success with divided into three dimensions : (1) the stability of business, (2) the business acceptance and (3) the reputation of business 2) determine the business factors in internal factors such as human resource management,financial management, marketing management, and business management & administration, and external factors such as customer, competition,economics, political and laws, and technology that important for SMEs success and 3) determine the business factors in internal factors and external factors that influencing SMEs success. The data was collected by questionnaires from small - medium sized business in Muang Hadyai,Songkhla Province that registered in 2007 with Department of Business Development in Songkhla. There were totally 1,030 enterprises, a simple random sampling technique was used in the study and the sample size was 280 enterprises. Analytical statistics used were descriptive statistics and stepwise multiple regression analysis. The results were as follows : 1)the important of internal business factors on business success were in the high level (X = 3.81) and the human resource management was the internal business factors that had the highest mean level (X = 4.11). External business factors were important for business success in the high level (X = 3.89) and technology was the external business factors that had the highest mean level (X = 4.11). 2) the level of SMEs success was in the high level (X = 3.97) 1) which can be arranged from high to low as follows: the business acceptance (X = 3.98) 2) the stability of business (X = 3.96), and 3) the reputation of business (X = 3.95). (3) marketing management, customer,technology, financial management, human resource management could predict SMEs success in stability of business at a significance level of .001 at R2 = 0.486. All factors were positively related to the stability of business except human resource management that was negatively related to the stability of business (1) business management and administration, customer,and marketing management could predict SMEs success in business acceptance at a significance level of .001 at R2 = 0.367 and all factors were positively related to the stability of business (2) marketing management,customer, human resource management, and business management & administration could predict SMEs success in reputation of business at a significance level of .001 at R2 = 0.426. All factors were positively related to the reputation of business except human resource management that was negatively related to the reputation of business.