The Influence of External Environmental Factors on the Competitive Advantage of Small and Medium-sized Enterprises (SMEs) in Bangkok

Abstract

This article aimed to (1) study the perceived impact of external environmental factors on Small and Medium-sized Enterprises (SMEs) in Bangkok, (2) analyze the competitive advantage of SME entrepreneurs in Bangkok, and (3) propose guidelines for enhancing the competitive advantage of SMEs in Bangkok based on external environmental factors. This study employed a mixed-methods research design, utilizing questionnaires with a sample of 400 SME entrepreneurs and in-depth interviews with experts and SME executives. Data were analyzed using descriptive statistics, multiple regression analysis, and content analysis. The research revealed that: (1) Economic and technological factors were perceived as having the most significant impact on SMEs. (2) SMEs in Bangkok build competitive advantage primarily through differentiation and agility rather than cost leadership. (3) Key strategies for enhancing competitive advantage include technological adaptation, network building, and leveraging government policies. This article introduces a new contribution, the 'Agile Resonance Framework,' which applies Dynamic Capabilities theory to explain the mechanisms through which SMEs in a metropolitan context sense, interact, and reconfigure resources to achieve sustainable competitive advantage.