Relational Factors toward Chinese Entrepreneurs’ Investment in Thai-Chinese Industrial Estate in Rayong Province

Abstract

This research aimed to overview and analyze relational factors of Chinese entrepreneurs investment in Industrial Estate of Thailand. Both qualitative and quantitative research methodologies were used. The data was collected primarily from 47 sample companies invested by Chinese entrepreneurs using questionnaire surveys and from interviews with 15 managers of Chinese invested companies in Thai-Chinese Industrial Estate, Rayong. Quantitative analysis was based on general data focusing on descriptive statistics, frequency, percentage, mean and standard deviation. The relational factors were conducted using mean and standard deviation. 

The results of the research finding showed that most of the companies were self invested and 1 of 3 were in BOI’s promotion investment program. The flexibility in regulation and tax reduction are the companies’ most important expectation. Also, it is expected that investment in Thailand would increase in the next 5 years. The most relational factors are 3 out of 7 factors surveyed, including infrastructure factor ( =3.64), logistics and transportation factor ( =3.60) and regulation / related law ( =3.59). Interview result states that most of the companies are managed mainly by teamwork, modern management and network. The most influencing reason to invest in Thailand is because of BOI promotion investment program and the opportunities to expand the production-base to Thailand where there are skilled labors with low wages. However, the problem usually occurs is that employees are not enthusiastic and not engrossed in their jobs. Accordingly, government sector should provide training programs to encourage high standard of works, including analytical thinking and calculation skills.