Commercial Capacity Development of Waste Material Product: Experience from Bangkok, Thailand

Abstract

The objective of this research was to study the group operating conditions, consumer’s behaviors and needs and approaches for the development of product potential towards community product standards of community products in the category of commercial waste materials. The data was collected from the sample group consisting of 2 entrepreneurs and 442 consumers in Bang Khen area, Bangkok, Thailand. The research result revealed that the group was formed by the local government organization for business activities. Most of the group members are elderly people who use waste materials, namely fabric scraps from factories and garment shops, to make products. The problems in the group’s operation were the lack of effective group management, uncertain production capacity, no financial planning for investment, selling price set according to the market price, non-attractive packaging, without brand. The product distribution channels include shopping malls near houses and places provided by local governments. A survey on consumer’s behaviors and needs found that 71% of consumers had purchased a community product in the form of waste materials. Most of them buy key chains. The purchase frequency is about once a month from local shops/community. The main reason to buy is to help the community. The customers decide to buy from online media. The consumers have a high level of opinion about the deciding factor for purchasing a product in every aspect while entrepreneurs see price factor as the main factor in the purchasing decision of consumers. From the analysis of the business environment, the approaches were found in developing product potential to meet community product standards, totaling 11 things consisting of group integration and group management with the marketing aspect, 2 of each aspect, and the product aspect with the production process, 3 of each aspect.