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Causal Relationship Model of Supply Chain Risk of Organic Rice in Thailand

Author

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  • Paveerat Pakdeenarong
  • Thammanoon Hengsadeekul

Abstract

This study aimed to gain a better understanding of the causal factors that affect dependent variables in the supply chain risk of organic rice in Thailand. Consequently, the purpose of this research was to develop a structural equation model of the supply chain risk. A questionnaire was used to gather data from a sample of 250 farmers who were certified under the organic agriculture standards in Thailand and the data were analyzed using LISREL 8.80. The Chi-square value of 192.21, a degree of freedom of 167, and a p-value of 0.08828 indicated that the model was consistent with the empirical data. The model was composed of 23 observed variables and 3 latent variables: input, organic agriculture standard, and supply chain risk. Input was found to have a positive and direct effect on organic agriculture standard (coefficient of 0.71), and a negative and direct effect on supply chain risk (coefficient of −0.65). Organic agriculture standard had no effect on supply chain risk.

Suggested Citation

  • Paveerat Pakdeenarong & Thammanoon Hengsadeekul, 2019. "Causal Relationship Model of Supply Chain Risk of Organic Rice in Thailand," Journal of Social Science Studies, Macrothink Institute, vol. 6(2), pages 74-85, December.
    • Handle: RePEc:mth:jsss88:v:6:y:2019:i:2:p:74-85
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