A Structural Equation Model of Causal Factors Affecting Decision on Business Loans Service of The Government Savings Bank Credit Center for SMEs Business 11 Mancha Khiri

Abstract

          The objective of this research was to develop a structural equation model of causal factors affecting decision on business loans service of The Government Savings Bank Credit Center for SMEs Business 11 Mancha Khiri by using quantitative research. In this study, the research tools used were questionnaire and the 320 respondents from customers of business loans service. The factors of this study were marketing mix factor , service quality factor and decision factor. The collected data were analyzed using Statistical Package for Social Science (SPSS) and presented with fundamental statistics consisting of frequency, percentage, means, standard deviation. After obtaining the initially analyzed information from the questionnaire, the confirmatory factor analysis and structural equation model (SEM) were incorporated as an effective tool to examine significant factors affecting decision making and to generate a model for dealing with business loans service.
          The results of this research that the opinion level of respondents in marketing mix factor  was at the highest level (  x̄ = 4.75, S.D. = 0.17 ) service quality factors was at the highest level (   x̄= 4.77, S.D. = 0.16 ) and decision making factors   was at the highest level (   x̄= 4.76, S.D. = 0.16 ). Additionally, the structural equation model developed for a causal factor affecting decision on business loans service of The Government Savings Bank Credit Center for SMEs Business 11 Mancha Khiri was appropriate and consistent with the empirical data with the model harmonization as follow: Chi-square= 103.684, df= 82, p= 0.053, CMIN/DF= 1.264, GFI= 0.960, AGFI= 0.933, CFI= 0.981, RMSEA= 0.029 and RMR= 0.004. The finding in this study also revealed that the marketing mix factor and the service quality factor directly influenced decision making with the positive relation, showing the direct path coefficient of 0.162, 0.708, respectively.