Academy of Strategic Management Journal (Print ISSN: 1544-1458; Online ISSN: 1939-6104)

Abstract

Confirmatory Factor Analysis of the Communitys Economic Development through Financial Community Institutes in Chaiyaphum, Thailand

Author(s): Umawadee Detthamrong, Wirapong Chansanam

The successful operation of financial community institutes is based on joint forces. The spirit of the community and the readiness of many components will impact financial community institutions' operational performance. This research has studied the factors of success in community economic development to community finance is strong. That is an essential mechanism for driving the community economy. So other community financial institutions can bring experience and conclusions to as an example of better management of community financial institutions. In this paper, we hypothesize that key success factors influence the community's economic development in a sample of 396 members of financial community institutes in Chaiyaphum, Thailand. Confirm Factor Analysis (CFA) approach was conducted to examine the factorial validity of the seven factors (Moral, Leadership, Participation, Group Management, Stability, Respect, and Reputation) instrument. The CFA results showed that the community's economic development constructs are considered valid and reliable. The results of the CFA analysis represented CMIN=707.986, df=188, GFI = 0.863, CFI=0.924 and RMSEA=0.084. Furthermore, we find that the core factors affecting the community's economic development success are Leadership and Group Management. There are implications for the utilization of the main success factors as well as a future study.

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