Business Model Alignment Approaches for Thai Small and Medium Enterprises (SMEs) in the Digital Economy Era

Abstract

The purposes of this research were to examine the adjustable capability on business model alignment of Thai Small and Medium Enterprises (SMEs) in the digital economy era. The adjustment was performed using business model alignment approaches under the capability of the current business operation. As a result of the uncertainty in business development and scarcity of resources, business model alignment and investment capability of Thai Small and Medium Enterprises (SMEs) are not consistent with the current economic situation. In order to improve the adjustable capability and to find out the proper approaches for Thai Small and Medium Enterprises (SMEs), the researchers conducted a survey research through the purposive sampling method. The participants in the study were 200 executives of Thai Small and Medium Enterprises (SMEs). The results of the research revealed that changes of the national economy have been the driving force behind technological advancement, affecting business directions with regard to entrepreneurial capabilities to improve resilience and sustainability among SMEs. Many executives and business owners placed high importance ratings on the business model alignment, empowering business process improvement and business standard operating procedures. Developing strategic objectives would be a driving force in business growth. As for business model alignment approaches, a moderate rating was given to importance for business profitability. Applied business Technology is embedded within business strategy formulation. To thrive in the digital economy, an emphasis is put on e-business fundamentals and business alliances. A low rating was given to benefits of running an online business. The implementation of the aligned operating model for SMEs features technology application for establishing business standards and increasing business profits. Research findings indicate that the alignment serves as guidelines to determine the efficiency of the outcomes. SME entrepreneurs put emphasis on the adjustment of business processes utilizing information technology for business process controls and enhanced efficiency. Formation of business alliances utilizing digital and modern business technologies appeared to be not significant enough for the reduction of SMEs’ operating expenses and time. As a matter of fact, business risks may occur within the operational processes.