The Relationship Model of Creative Economy Concepts that Affect Marketing Success

 

Pattarapon Chummee ¹

 

¹ College of Innovation Management, Valaya Alongkorn Rajabhat University Under the Royal Patronage, Thailand

 

1. INTRODUCTION

Creative economy Affecting the employment rate and economic growth rate (GDP) in different countries around the world from industries related to the economy, it was found that Japan employs 6.5 to 9.3 million people and affects GDP. Percent 10-14 Germany has 2.9 million employment and contributes to the economic growth rate of 7 percent. In France it has 1.2 million employment and contributes to the economic growth rate of 7 percent. 4 In South Korea, it employs about 1 million and contributes to economic growth of 4 per cent. In Spain, it is about 900,000 and contributes to economic growth of 5 per cent. In Italy. It employs more than 600,000 people and contributes to the economic growth rate of 2.5%, and in Turkey, it has more than 600,000 employment and contributes to the economic growth rate of 2%. It was also found that Japan has the highest number of industries in the creative economy, followed by England and Germany Deloitte (2021).

The importance of the creative economy that contributes to the economic growth of Thailand. Thailand is entering economic structural reforms to move forward towards "Thailand 4.0" by transforming the economy and production structure. Focus on using technology and innovation to add value to products and services. Which has the same goal as the creative economy policy concept. Using human capital and technology instead of physical capital to lead to the distribution of wealth and opportunities under 3 main mechanisms, consisting of (1) Mechanism to drive the economy with innovation, wisdom, technology, and creativity (2) Mechanism of income distribution by upgrading the capabilities and skills building for people and enterprises; and (3) an environmentally friendly development mechanism. By focusing on the use of environmentally friendly technologies and the use of renewable energy. Moreover, it was found that the creative economy plays an important role in the overall macro-economy of Thailand. Most of the creative industries are in the industrial sector (87.8 percent), followed by the service sector (12.5 percent) and the rest is the agricultural sector, and overall, the size of the creative economy has a constant proportion of about 8-10 percent. of GDP Kongrit (2020)

Creative economy at the local level that uses the product as a base for development (Product-based) as can be seen in the One Village One Product (OVOP) project of Oita Prefecture. Japan There are 3 main principles in operation: 1) focusing on the production of products and services that It shows the pride of local culture to be accepted internationally. 2) Self-reliance and creation of products and services that come from the potential of communities and localities, and 3) focusing on human resource development to have strength Motivation and behavior in innovation, which OVOP is applied. It is a role model for community and local economic development in many countries around the world. Including Thailand, which has been adapted to implement the One Tambon One Product (OTOP) project as well. Phuangprayong (2018).

Moreover, when studying the competitive advantage strategy according to the creative economy that entrepreneurs do not take the most action is the use of information technology/development of new processes/methods to help analyze and report on the second is to do research and development of technology to find better and more efficient ways to meet the stringent conditions of the government. Applying information technology/developing new processes/methods to help manage parcels at the lowest level. Sufficient for use and economical. Research and development of technology that prioritizes customers to solve problems encountered by customers. Third is research and development of technology to create intellectual property value in new technologies. New work processes or new products towards copyright or patent the use of information technology/development of new processes/methods to help control and maintain supplies so that they are ready for use. Chaipinchana (2017)

For the above reasons the creative economy is important to make a difference. Create added value as well as creating a difference to that industry, the creative economy can then create a competitive advantage for Thai community enterprises. It must make a difference to the products or services of that community enterprise. create value for society Reduce immigration and create sustainability for the community. That can also be developed into an international.

 

 

2. LITERATURE REVIEWS

Phuangprayong (2018) the reactive economy means process or activity. A cultural asset-based economy combined with creativity, innovation, or technology to produce goods and services that can generate commercial value. (commercialization) or added social value which is in the same direction as the creative economy is a process or activity that arises from 2 main factors: 1) intellectual capital or body of knowledge 2) skills to apply creativity to the greatest benefit. Commercially.

The use of the concept of creative economy in terms of difficulty in imitating has a direct effect on marketing success the uniqueness part of products and local culture has an indirect effect When classified by consumer product groups, the use of the concept of creative economy Difficulty in copying, copying, and selling at a price have a direct effect on marketing success. As for the uniqueness and local culture, there were indirect and overall effects on the use of creative economy concepts, the uniqueness of the product, the difficulty of imitating. sales, price, and local culture affecting marketing success. In addition, it was found that when classifying according to the group of consumer products. Chonpradit et al. (2014)

Factors of success in marketing of community enterprises in Surin Province found that most community enterprise members sees that their community enterprises have not been successful in their operations Because there is still an unstable market. The sales volume has decreased. The group is not strong. Lack of cooperation among group members If a group of enterprises that produce agricultural products Productivity depends on the season, weather, water, etc., causing the production to be discontinuous. and some products have not been product standard coupled with a lack of knowledge and understanding of group management, marketing, and loss of assets to be used for operations or as working capital of the group. In addition, informants saw that the factors that made community enterprises Success is the unity of the group members. have cooperation have a passion for the profession good group management because the board is strong Members are involved in managing the group. accounting Products are standard. Moreover, community enterprises in Surin Province have marketing practices. Technology, creativity, and Innovation. Suwannaphusit (2021).

 

3. OBJECTIVES OF THE STUDY

1)     To study the general characteristics of community enterprise entrepreneurs.

2)     To analyze the influence between creative economy ideas on marketing success.

 

4. RESEARCH METHODOLOGY

This research is quantitative research. Using descriptive statistics and inferential statistics. The target population is 1,595 community enterprise entrepreneurs in Bangkok and its vicinity Community Enterprise Information System. (2022). Crazy and Morgan obtained a sample size of 310, randomly assigned in Bangkok, Samut Prakan, Nonthaburi, Pathum Thani and Ayutthaya, 62 each. Analyze the conceptual framework of structural equations. Moreover, the confirmatory component analysis should have a minimum sample size of at least 150 samples whereas the minimum sample size for the structural equation conceptual analysis should be a minimum of 200 samples. For this reason, the researcher set a sample of 310 subjects. Hoyle and Kenny (1999), Kline (2011) and Muthén and Muthén. (2002).

 

4.1. Research tools and validation testing

The research tool uses a questionnaire to collect data. The structure of the questionnaire is divided into 3 parts: part 1 general information about the respondents and the company consisting of; Questions about the personal characteristics of the respondents, including age, level of education. overseas experience and foreign language skills and information on the size of the organization, part 2, information on the uniqueness of the product Difficulty in imitating local culture, technology, product demand and tourism, and part 3, marketing success information consist of sales product line expansion in terms of the number of dealers ability to retain customers and the addition of new customers.

The format of the questions in Part 1 The questionnaire in the questionnaire was open-ended. It is a question that the respondent can choose to answer truthfully.

Part 2-3 Questionnaire question format. The questions are closed-ended and the responses are evaluated using a likelihood scale. This research the researcher used the Five-point Rating Scale (numeric scale) and found that the researchers used were Gunday (2009), Nuryakin et al. (2018), and Distanont and Khongmalai (2020), etc.

The results of questionnaire quality checking in terms of content validity, questionnaire coverage, Appropriateness, and clarity of use Language experts from 5 people found that the concordance (IOC) was between 0.6-1.00. When analyzing the concordance of the entire questionnaire (IOC), the concordance of the entire questionnaire was 0.91.

 

4.2. Statistics used in research

A descriptive analysis was used to describe the details of the factors used in the analysis. It also describes the general condition of the data collected and explains the general properties of the study population. The statistics commonly used in quantitative measurement are percentage (mean), standard deviation (standard deviation), maximum (maximum), minimum (minimum) and alpha coefficient to find the difference. gauge confidence

Factors analysis Factors analysis is an analytical technique used to categorize a large number of variables. to be a category It also allows the researcher to perform a classification of variables in case the researcher does not know. How to classify Prasitrathasin (2001). Varimax factor rotation technique was used to analyze component weights. Check for convergent validity by testing the AVE (Average Variance Extracted) and CR (Composite Reliability) values, respectively.

And path analysis to test the path of relationship between variables by using the concept of regression analysis as a statistical method used to study the relationship between independent variables and dependent variables (dependent variables) will study the linear relationship (Linearity) Chanaboon (2017), as well as test the direct and indirect relationship.

 

 

 

 

5. RESEARCH RESULTS

In the first step, analyzing the percentage of personal characteristics of the sample who answered the preliminary projection questionnaire was found that 182 males accounted for 59 percent, females numbered 128 cases accounted for 41 percent. Employees found that there were 21-40 employees, 242 persons, representing 80.7 percent, followed by 41-60, with 58 persons, representing 19.7 percent, and 10 employees of 0-10, representing 10 persons. 3.3% and in terms of education, there were 259 students with lower than bachelor's degree, accounting for 83.3%, and 51 with bachelor's degree, accounting for 16.7%.

The results of the component analysis find the weight of an element sentiment check and centralized validation to test AVE (Average Variance Extracted) and CR (Composite Reliability) values. The results are shown in Table 1.

Table 1

Table 1 Factor Analysis, Reliability and Convergent Validity
Variable	Factor Loading	AVE	CR	Tolerance	VIF	Cronbach’s
Concept of Creative Economy		0.505	0.657	0.8993	1.007	0.702
Econ1	0.628
Econ2	0.893
Econ3	0.918
Econ4	-0.604
Econ5	0.780
Econ6	0.758
Marketing Success		0.515	0.612	0.900	1.111	0.525
Marketing1
Marketing2
Marketing3
Marketing4
Marketing5
Competitive Advantage		0.745	0.824	1.000	1.000	0.815
Comp1	0.860
Comp2	0.903
Comp3	0.820

 

Exploratory Factor Analysis (EFA) Results of Sentiment Validation and centralized validation Table 1 found that the sufficiency economy concept components marketing success and the competitive advantage had the component weight values passed the specified criteria. and when checking centralized validity for AVE and CR values, it was found that the values passed the specified criteria were not lower than 0.50 and 0.60, respectively Shiu (2010). less than 0.50 passed the specified criteria Hair (2010)

The analysis results of Tolerance values between 0.993- 1.000 indicating that there is a low correlation influence. does not cause the problem of co-correlation between the variables.

The value of VIF (Variance Inflation Factor) is between 1.000 -1.357 indicating that there is no problem of polylinear convergence. Inconclusion, this can be concluded that Testing by multiple regression analysis found that each variable It is not influenced by other variables and has no high linearity problem. Therefore, the data can be analyzed by causal influence analysis to test the influence path concept.

Form Figure 1, the results of the influence analysis by Process program revealed that the path of influence of the relationship between variables in creative economy ideas. To market success, R value is 0.0298, R² value is 0.0009, df1 value is 1.000, df2 value is 398.000, coefficient is 0.579, Se value is 0.0872, t value is 0.595. LLCI is -0.1333, ULCI is 0.2490.

The path of influence of the relationship between creative economy concept variables to competitive advantage, R-value is 0.1331, R² is 0.0177, df1 is 2.000, df2 is 397.000, coefficient is 0.008, Se is 0.192, t-value is 0.0.425, P value was 0.9661, LLCI was 0.0385, ULCI was 0.0368.

Figure 1

                                                                     

Figure 1 Path Analysis

 

And the results of the analysis of the influence between marketing success to competitive advantage variables, R value is 0.1331, R² value is 0.0177, df1 value is 2.000, df2 value is 397.000, coefficient value is 0.0995, Se is 0.0372, t is 2.676, LLCI is 8.3480, ULCI is 12.2733 which can be shown in Figure 1.

The analytical results of the standard coefficients of direct influence (DE), indirect influence (IE) and total influence (TE) after structural model adjustment are as follows Table 2.

Table 2

Table 2 Analysis Results of Standardized Coefficients of Direct Influence (DE), Indirect Influence (IE), and Total Influence (TE)
Cause Variable	Relation	Result variable MARKETING	COMP
UNIQ	DE	0.579**	0.008**
	IE	---	0.055**
	TE	0.579**	0.063**
MARKETING	DE	---	0.095**
	TE	---	---
	TE	---	0.095**
COMP	DE	---	---
	IE	---	---
	TE	---	---
Note *p < 0.05, **p < 0.01

          

From Table 2, the results of analyzing direct influence (DE), indirect effect (IE), and total effect (TE) after structural model adjustment were as follows: Creative economy concepts (UNIQ) had a positive direct correlation with market success (MARKET) at 0.579 and a positive direct correlation with competitive advantage (COMP) at 0.008. It was also found to have an indirect correlation through market success (MARKET) to a positive competitive advantage (COMP) of 0.055.

And the standard coefficient of the relationship between market success (MARKET) was positively correlated with the competitive advantage (COMP) at 0.095.

Considering the direction of the relationship, it was found that the variables in the creative economy local culture Difficulty in imitating factors that drive the economy marketing success and a statistically significant competitive advantage at the 0.01 and 0.05 levels.

The maximum effect on the variable (Maximum effect) from the development of a causal model. It was found that the marketing success factor (MARKET) was the most important. Next is the Competitive Advantage (COMP) variable.

 

6. CONCLUSION

Personal characteristics play an important role in the decision-making process of an entrepreneur. Whether it's age, gender, work experience, all affect work, decision making, planning, creating works. development and research It can be said that if there is a real study of this factor, it will be found that it will affect the operation planning. In some features affect operation. Some features do not affect any functionality.

In the creative economy, the importance of technology used in the community enterprise must be given priority. including access to modern technology Together with the management to make the products desired by consumers through product design. improve product quality Packaging to create added value together with tourism promotion Incidentally, stories or local cultures must be used for the benefit of linking stories. Blending local cultures Promote the uniqueness of the product to generate continuous demand for the product. Therefore, creating outstanding products Difficult to imitate with local identity Add novelty, modern, creating added value. product demand and prominence.

Encourage entry into new marketing channels while issuing attractive content and packaging. by focusing on accessing social media more Create content and design content to be up to date. including valuable packaging design can add value to the product The products must be created to have a story that relates to ideas or beliefs in each locality. in order to be able to attract consumers at all levels including social media marketing channels and must not abandon offline marketing channels that have to be done in parallel.

This is supplemented by the use of the creative economy concept to maximize the use of local wisdom. Create products to be local representatives. There is a unique brand design. Combine cultural history stories. by bringing local wisdom to be used in conjunction with ultimately, sales must be boosted. Establish sales, sales lines, expand product lines create distributor and retain old customers add new customer which will bring a competitive advantage.

 

CONFLICT OF INTERESTS

None. 

 

ACKNOWLEDGMENTS

None.

 

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