CONSUMER BEHAVIORAL AND MARKETING MIX FACTORS INFLUENCING ON DECISION MAKING OF BUSINESS LOAN SERVICE SELECTION OF SMALL AND MEDIUM ENTERPRISE IN SAKON NAKHON PROVINCE

Abstract

            Small and medium-sized enterprises play an important role in economy, particularly in developing countries. Business operation and expansion need to request for credit granting due to small scale enterprise. The major factors affecting on business loan selection were behavior and marketing mix, which small and medium enterprises make decision on credit service. Most small and medium businesses in Thailand have realized such vital factors and explore the effects on decision making of business loan requisition. The research study was aimed to investigate consumer behavioral and marketing mix factors influencing on decision making of business loan service selection of small and medium enterprise in Sakon Nakhon Province, Thailand. This research study was a quantitative research method. The population of the research was credit small and medium enterprises in Sakon Nakhon Province with the samples of 385 respondents determined by using simple random sampling based on Cochran formula. Data were collected through 5-point Likert scale questionnaire surveys. Cronbach’s alpha coefficient of marketing mix factor and decision making of business loan service selection were 0.952, and 0.901. Data were analyzed by descriptive statistics and inferential statistics including t-test. F-test (One-way ANOVA), the Pearson Product-Moment Correlation and Multiple Regression Analysis.
The results of this research study revealed that entrepreneurs’ opinion on marketing mix factor and decision making of business loan service selection of small and medium enterprises were at high levels with mean scores of 3.84, and 3.87, respectively. The research results from hypotheses testing shown that seven dimensions of marketing mix factor can predict decision making of business loan service selection up to 43.60% (Adjusted R-Square 0.436) at 0.05 significant levels. Decision making of business loan service selection has statistically different on loan payment channel. The marketing mix factor had statistically significant positive influenced on decision making of business loan service selection with standardized coefficients (β) of 0.575. Analysis in detail, the results of this study found that dimensions of marketing mix factors; people, process, and promotion, had statistically significant positive influenced on decision making of business loan service selection with standardized coefficients (β) of 0.258, 0.218 and 0.178, respectively. In conclusion, marketing mix factors had significantly influenced on decision making of business loan service selectionof small and medium enterprise in Sakon Nakhon Province, Thailand leading enterprises prudently consider on such important factors in order to make appropriate business loan decision.