Product Innovation’s Determinants of Chinese Family Business in Chiangmai and Consumer Socioeconomics

Abstract

This paper tries to answer the research question; customers influence product innovation factors. As a sample 400 small family, Chinese business customers were collected data using questionnaires in Chiangmai province. The results show that most customers are females with more than 40 years and 31-35 years of age. T-test confirms that socioeconomic factors of customers influence product innovation factors. Moreover, customers’ socioeconomic or demographic factors, age, and occupation are significantly related to product innovation in three categories; line extensions, Me-too products, competitor’s products, and new-to-the-world products. There is a limited number of innovation studies in authentic Chinese moon cake of Chinese family-owned businesses, despite the importance of innovation. That is product innovation that influences customers’ buying.