Factor Effecting of Durian Innovation Product of SME Industry: Study in South of Thailand

Abstract

Innovation is a process of creating new things or simply a new idea. Innovation helps the organization to find a competitive edge for survival. Innovation improves the quality of existing products like durian products in Thailand. The purpose of the current study is to investigate the link between factors that affect the durian product innovation in the small and medium industries working in the south of Thailand. Respondents of this study are employees working in the SME industry of the south of Thailand. Data is collected through a questionnaire via e-mail. Data is cross-sectional and the study is quantitative. Results generated from PLS revealed that factors that affect the durian product innovation are customer base, department of research and development and level of competition has a positive significant impact on durian product innovation. Technological innovativeness also has a positive significant impact on durian product innovation and also mediates the relationship between the level of competition and durian product innovation in the SME industry of the south of Thailand. Policymakers should focus on these factors for increasing the innovation of durian products.