The effect of Entrepreneurial Orientation Market Orientation, Marketing Capabilities on Firm Performance of entrepreneurs in the Northeastern region of Thailand

Abstract

The purposes of this research were to study the influence of Marketing Orientation, Entrepreneurial Orientation, and Marketing Capabilities on Firms’ Performance of entrepreneurs in the Northeastern Region; and to study the relationship between Marketing Orientation, Entrepreneurial Orientation, and Marketing Capabilities on Firms’ Performance of entrepreneurs in the Northeastern Region by using a questionnaire as a tool to collect data from entrepreneurs in the Northeastern Region registered the exporters and/or importers with the Customs Department trading with the countries in the Mekong sub-region (Laos PDR, Cambodia, Myanmar, Vietnam, Southern China) for a total of 360 people. Data analysis uses a structural equation model (SEM) to develop the model and check the consistency between a model and empirical data and study the influences that occur between factors.

   The research results based on the hypothesis found that 1) Entrepreneurial Orientation has a positive direct influence on marketing capabilities, 2) Marketing Orientation has a positive direct influence on marketing capabilities, 3) Marketing Capabilities have a positive direct influence on firms’ performance, (4) an entrepreneurial Orientation has a positive direct influence on firms’ performance, and 5) a Marketing Orientation has a positive direct influence on firms’ performance. Confirmative component analysis revealed that the hypothetical model has consistency with the empirical data at a good level or it is a highly valid model considered from the chi-square value of 72.21, statistically significant at 0.32 (P-value equal to 0.32), Relative chi-square of 1.17equal 1.00. The Goodness of Fit Index (GFI) was 0.95, the Adjusted Goodness of Fit Index (AGFI) was 0.92, and the Root Mean Square Error of Approximation (RMSEA) is 0.01. The benefit of this research can explain the causal-and-effective relationships between Marketing Orientation, Entrepreneurial Orientation, Marketing Capabilities, and Firms’ Performance in the Northeastern Region.