A Structural Equation Model of Factors Influencing Sustainability of Chemical Industry in Thailand

Abstract

Objective: The purpose of the study is to study a structural equation model of factors influencing the sustainability of the chemical industry in Thailand and to study the direct, indirect, and combined influence of factors on the sustainability of the chemical industry in Thailand.   Method: A total of 317 responses were collected from the chemical industry in Thailand using a multi-stage sampling technique. In the relationship analysis among the variables, AMOS is the main program to use, and another is Pearson’s correlation coefficient. The factors of the structural equation model as basic data.   Results: We found that the factors influencing sustainability the most were Transformational Leadership, followed by organizational culture, and corporate social responsibility. The factors that had the most influence on corporate social responsibility were transformational leadership, followed by organizational culture. Transformational leadership must dedicate and foster the organizational culture and corporate social responsibility to address obstacles.   Conclusion: It is important for the organization to define long-term vision and strategies, clear missions, and objectives related to corporate social responsibility, and to provide goals and direction to employees. Therefore, the chemical industry needs a leader who uses the transformational leadership style by shifting the organizational culture to a solid culture to differentiate itself when incorporating corporate social responsibility. Different from previous research on sustainability, this research aims to create a model showing the linkage of three independent latent variables influencing the sustainability of the chemical industry in Thailand.