The thesis has reviewed and indicated the research results of a number of foreign and domestic studies concerning the concept, the characteristics, the role of supply chain collaboration, the level of collaboration and determinants of the collaboration in supply chains.
MINISTRY OF EDUCATION AND TRAINING FOREIGN TRADE UNIVERSITY - SUMMARY OF DOTORAL THESIS A STUDY OF FACTORS AFFECTING THE COLLABORATION IN VIETNAM EXPORTED FRUITS AND VEGETABLES SUPPLY CHAIN Field of study: International Economic Code: 62.31.01.06 (new code: 9310106) NGUYEN THI YEN The thesis is completed at: Foreign Trade University Supervisor: Assoc Prof., Dr Trinh Thi Thu Huong Reviewer 1: Reviewer 2: Reviewer 3: The thesis shall be defended in front of the Thesis committee at University Level at Foreign Trade University At .hour .date month .year 20 The thesis can be found at the National Library and The Library of Foreign Trade University LIST OF PUBLISHED WORKS OF THE AUTHOR RELATING TO THE THESIS Nguyen Thi Yen (2019), “Factors effecting the collaboration in Vietnam exported fruits and vegetables supply chain” External Economics Reviews, No 120/2019 Nguyen Thi Yen (2018), “Fruits’s cold supply chain: experience of Japan and lessons for Vietnam”, External Economics Reviews, No 104/2018 Nguyen Thi Yen (2018), “Some recommendations to enhance collaboration in Vietnam’s retail supply chain”, Academic Conferrence at University Level “Vietnam retail market: perspectives for 2020 and beyond”, Foreign Trade University, 08/2018 INTRODUCTION Rationale of the research: Vietnam has advantages over agriculture and fruits and vegetables, of which the export output has been increasing constantly through the years, are among the main export products However, the export output, although rising, still solely accounts for the minority of domestic production, while export turn-over makes up a meager proportion of worldwide demand at 1,5% Clearly, it lacks food safety exported fruits and vegetables supply chain, not the import markets The theory concerning collaboration in supply chain has been studied, applied in reality for many years Nonetheless, for developing countries as Vietnam, it is still a brand new thing and has just been attached special importance to recently, which results in the fact that a lot of companies not understand deeply the extreme magnitude of collaboration in export fruits and vegetables supply chain Therefore, recognizing factors affecting collaboration in supply chain, then finding out existing difficulties to provide appropriate solutions are utterly imperative nowadays For that reason, the writer chooses “A study of factors affecting the collaboration in Vietnam exported fruits and vegetables supply chain” to be the topic of the Ph.D thesis Overview and related issues of thesis 2.1 General findings of supply chain collaboration The thesis has reviewed and indicated the research results of a number of foreign and domestic studies concerning the concept, the characteristics, the role of supply chain collaboration, the level of collaboration and determinants of the collaboration in supply chains 2.2 General findings of fruits and vegetables supply chain collaboration The thesis has reviewed and indicated the research results of a number of foreign and domestic studies concerning the collaboration in fruits and vegetables supply chain and its determinants 2.3 Comments on previous reports and unsolved problems General perception In general, there have been a lot of researches on supply chain collaboration and its determinant, which have been published in prestigious supply chain management journals These studies have clarified the concept of chain collaboration, the levels of collaboration, the characteristics and the role of collaboration in improving and developing the supply chain From there, we can form the theoretical basis for research on collaboration and its determinants The number of domestic researches on collaboration and its determinants is very limited Unsolved problems Various studies have discussed the factors that influence collaboration within the chain, however, the amount of researches is limited when it comes to a particular field Furthermore, studies have not yet identified all factors affecting the collaboration in the export vegetable and fruit supply chain, but only at reasoning and surveying the influencing factors Domestic research on this issue is still limited, there is currently no research on the analysis of factors affecting the collaboration in Vietnam exported fruits and vegetable supply chain Research objectives and tasks: The objectives of this thesis are to recognize and analyze factors affecting the collaboration in Vietnam exported fruits and vegetables supply chain, then to find solutions influencing such factors in order to reinforce the collaboration in Vietnam exported fruits and vegetables supply chain In addition, the thesis develops a scale system for collaboration and factors affecting the collaboration in Vietnam exported fruits and vegetables supply chain To achieve the aforementioned objectives, the thesis performs the following tasks: Firstly, clarifying the rationale of supply chain, collaboration in supply chain, recognizing and analyzing factors affecting the collaboration in export fruits and vegetables supply chain Secondly, creating and developing a system of scales for factors affecting the collaboration in Vietnam exported fruits and vegetables supply chain Thirdly, analyzing the real situation of Vietnam exported fruits and vegetable supply chain and collaboration in Vietnam exported fruits and vegetable supply chain.Fourth, determining factors and their affecting level to collaboration in Vietnam exported fruits and vegetable supply chain Fifth, basing on the analyses of affecting level of factors to provide solutions influencing factors in order to reinforce the collaboration in Vietnam exported fruits and vegetable supply chain Research subjects and scope: Research subjects are factors affecting the collaboration in Vietnam exported fruits and vegetable supply chain This thesis research on fruit and vegetable exporting enterprises and co-operatives which are placed in the relationship with their suppliers, distributors / customers Exporting enterprises and co-operatives are the central enterprise of the export fruit and vegetable supply chain, and their answers are generalized to assess collaboration and the factors affecting collaboration in the supply chain Spatial research scope: the thesis researches on the collaboration in Vietnam exported fruits and vegetable supply chain In addition, the thesis researches on experience lessons of India and Thailand Temporal research scope: statistics in the thesis are from 2010 to 2019 and were collected from reports of state authorities such as General Department of Custom, General Statistics Office,… Research content scope: the thesis researches on the collaboration in export fruits and vegetables supply chain The thesis also focuses on researching into the vertical collaboration in supply chain, specifically the collaboration between elements in the Vietnam exported fruits and vegetable supply chain Research Methodology This thesis approaches from the perspective of the state management agencies in managing the activities of enterprise in Vietnam’s export fruits and vegetables supply chain Approaching the rationale concerning factors affecting the collaboration in Vietnam exported fruits and vegetable supply chain Approaching realistically through surveys to evaluate the affecting level of factors to the collaboration in Vietnam exported fruits and vegetable supply chain Researching, evaluating on the reality of the collaboration between elements in export fruits and vegetables supply chain in specific domestic and international conditions and context; associating the development of the supply chain and the collaboration in export fruits and vegetables supply chain with national socio-economic development situation in the age of international economic integration The research combined of descriptive research and verification research Research significance: 6.1 Theoretical contribution: Improving the theoretical framework about supply chain, collaboration in supply chain and factors affecting the collaboration in supply chain The new point of this thesis is that the author has come up with a collaborative model in Vietnam exported fruits and vegetables supply chain that is governed by factors: two of which are commitment and government support have certain impacts on the collaboration, other factors of trust, power, culture, business strategy that were published in previous research works The thesis developed and scales of commitment factor, scales of government support factor and scales of collaboration in Vietnam’s export fruits and vegetable supply chain This could be considered the first research on factors affecting the collaboration in Vietnam exported fruits and vegetable supply chain, being the rationale for researches towards different fields in Vietnam The research uses both qualitative and quantitative research methods to test the result, so it would add to the methodology of analysing the collaboration in supply chain 6.2 Realistic contribution: Raising awareness of export fruits and vegetables businesses about the importance, necessity of collaboration in supply chain The thesis identifies the three factors with greater influence are trust, power, and business strategy The research also provides solutions for businesses' consideration and for developing Vietnam exported fruits and vegetable supply chain The research is also a reliable reference material about supply chain, collaboration in supply chain or methodology of metrology research and research model test 7.Structure: Apart from introduction, table of contents, list of tables and figures, abbreviations, references, conclusion, the thesis is divided into four chapters CHAPTER 1: SOME BASIC THEORETICAL ISSUES ON SUPPLY CHAIN AND COLLABORATION IN SUPPLY CHAIN 1.1 Overview of supply chain 1.1.1 Concept of supply chain There are many supply chain concepts, in general, they show that it is the link between companies from the first stage of purchasing raw materials to producing and delivering products to customers According to the author, the concept introduced by Chopra, Sunil and Peter Meindl is more complete when it comes to the role of the links in the supply chain Accordingly, the supply chain is composed of all activities participated directly and indirectly in supplying products to end customers In addition to businesses directly involved in meeting customer needs such as suppliers, manufacturers, distributors, indirect stakeholders such as transportation, information, warehousing service providers also play an important role This is a sufficient condition for businesses to serve customers with optimal service and cost 1.1.2 Objectives of supply chain management The supply chain is composed of all activities involved in the supply of products to the end customers, so the ultimate goal of supply chain management is to satisfy customer needs and enhance overall value of the chain 1.1.3 The basic elements of the supply chain The thesis indicates five basic elements of the supply chain: production, inventory, place, delivery and information Manufacturing in the supply chain refers to the capacity of the chain to create and store products Inventories are in the supply chain and range from raw materials to finished products, semi-finished products, held by manufacturers, distributors or retailers in the chain Place is understood as the choice of the geographical location of supply chain facilities and the identification of activities that need to be taken by each vehicle Delivery involves moving from raw materials to finished products under different conditions in the supply chain Finally, information is the key element related to the four remaining basic ones of the supply chain Information is to connect all activities in the chain, when the information is transmitted accurately, fully and promptly, the parties in the supply chain will be able to make an accurate decision for their own activities 1.1.4 Basic components of the supply chain structure A supply chain consists of components interrelated and interacted with each other are suppliers, manufacturers, consumers and intermediary organizations In each supply chain, products are moved from the supplier to the manufacturer, distributor, customer (retailer) and end customers along the supply chain In fact, manufacturers may receive raw materials from many other suppliers and then supply them to distributors, which forms supply networks 1.2 Collaboration in the supply chain 1.2.1 Definition The thesis points out some concepts of supply chain collaboration, whereby we can understand that a collaborative supply chain in which members jointly plan and carry out supply chain activities in order to bring the best benefits to each member and the whole supply chain as well as aiming to best satisfy customers' needs Collaboration can bring the benefits to the supply chain as following: Increase accuracy for forecasting demand, shorten order processing time; Improve productivity and product quality, boost businesses' competitive position of in the industry 1.2.2 Classification According to Togar and Sridharan (2007), supply chain collaboration can be divided into three categories: Vertical Collaboration, Horizontal Collaboration and Lateral Collaboration - Vertical Collaboration: vertical collaboration occurs when two or more organizations, such as manufacturers, distributors, carriers, and retailers share responsibility, resources and information to intend to serve related organizations similar to the end consumer - Horizontal Collaboration: horizontal collaboration is the cooperation between factors in the same stage to reduce costs and increase product prices - Lateral Collaboration: lateral collaboration has the characteristics of both types of above collaboration, the flexibility due to the combination of benefits from coordinating components throughout the chain of vertical collaboration and from sharing resources of horizontal collaboration Besides, considering supply chain collaboration should be associated with supply chain organization structures, including: basic struture, collaboration, partnership, tiers, integration 1.2.3 The criteria to evaluate the collaborative between supply chains The thesis states and explains the criteria of assessment to the collaboration between supply chains Simatupang Sridharam (2008) listed out five criteria, including: decision synchronization, system of collaborating execution, binding stimulation, creative supply chain, and information sharing The content of collaboration is listed in the table below: Content Sources COL1 The components in supply chains and the Simatupang and Sridharam (2008) chain activities plans COL2 The components in the supply chains Simatupang and Sridharam (2008) always evaluate the collaboration procedure COL3 The components in the supply chains Simatupang and Sridharam (2008), Fisher always collaborate to develop new (1997); Simchi-Levi and partners, 2003 products and the market COL4 The components in the supply chains Simatupang and Sridharam (2008), Fisher always collaborate to execute chains (1997); Simchi-Levi and partners, (2003) activities COL5 The components in the supply chains Simatupang and Sridharam (2008), always share information Subramani (2004); Zhang and Chen (2013) 1.3 Factors affecting the collaboration in the vegetable supply chains for exportation and original research model 1.3.1 The characteristics of collaboration in Vietnam exported fruits and vegetable supply chains Collaboration in the export fruits and vegetables supply chain has the following characteristics: first is the end-customer in foreign markets and the consumption of products will be acted by the foreig importing enterprises Secondly, the production and of vegetable farmers thanks to the intermediaries of distribution and government support policies Second, the signing of production contracts Thirdly, intermediary retail organizations have promoted their role very well Fourth, the Indian government has well performed its role of supporting and promoting production as well as domestic consumption of fruits and vegetables 1.4.2 Experience of Thailand The dissertation provides a general introduction about Thai fruits and vegetables export and the cooperation in Thai fruits and vegetables export supply chain From there, draw lessons for Vietnam Firstly, sharing goodwill information among the components of the export vegetables and fruits supply chain Second, promoting the supporting role of associations Third, exporters focus on developing a collaborative relationship between the components of the exports vegetable and fruits supply chain CHAPTER 2: RESEARCH PROCESS AND METHODOLOGY 2.1 Research process 2.1.1 An overview of the research process flowchart The research process of the thesis consists of steps, namely: identifying research objectives, collectiong and reviewing documents, collecting research data, preliminary research, formal research, research result’s report 2.1.2 The steps in the research process This study clearly explains the activities and purposes of each step in the research process of the research 2.2 Secondary research data Secondary data was collected through field research by reviewing data from published data sources Its included reports from The General Statistics Offices, Vietnam Frui and Vegetable Association, Information Center of the Strategic Policy Institute for Rural Development and Vietnam Chamber of Commerce and Industry (VCCI) The secondary data is analyzed base on the qualitative analysis methods, including general and matching methods, logical reasoning methods and statistical and modeling methods 2.3 Primary research data 2.3.1 Qualitative analysis methods Group discussion The purpose of this method is to guide factors that influence collaboration in Vietnam’s export fruits and vegetables supply chain, developing scales for these factors to conduct expert interview Expert interview The expert interview aims to evaluate the contents of the influencing factors and the scales for official quantitative research, as well as preliminary assessment of the level of collaboration in Vietnam’s export fruits and vegetables supply chain 2.3.2 Quantitative analysis methods The thesis used questionnaire survey in order to point the model of theoretical research, and make assessments and propose solutions This research uses random sampling and propose-sampling techniques to be conducted for exporters and cooperatives in Vietnam exported fruits and vegetables supply chain The formal questionnaire has 29 items including 24 items for the scale of factors affecting supply chain collaboration, and items for the dependent variable Each question item was graded on a Likert scale from to with the convention of strongly disagree (1) to strongly agree (5) The content of the scales was combined by the author from the published research, then translated into Vietnamese and discussed with the group of enterprises who participating in in-depth interviews to adjust some concepts accordingly The thesis built a questionnaire to survey enterprises producing and exporting fruits and vegetables, cooperatives and conducted surveys at 138 enterprises and cooperatives in regions of Vietnam The data will be cleaned, coded for quantitative analysis using SPSS 20.0 Testing the scale of Cronbach’s Alpha: This test allows assessing the reliability of establishing a composite variable on the basis of many single variables Exploration factor analysis method (EFA): This method used to test the convergence of conceptual component variables Exploratory factor analysis is useful in indentifying necessary variables for research issues as well as for finding relationship between variables Pearson correlation test method: This method is used to check the linear correlation between dependent variable and independent variable Multivariate linear regress analysis: This method helps clarify the relationship between independent variables and dependent variable in the research model CHAPTER 3: ANALYSIS THE FACT OF FACTORS AFFECTING THE COLLABORATION IN THE VIETNAM EXPORTED FRUITS AND VEGETABLE SUPPLY CHAIN 3.1 The Overview of the Vietnam vegetable and fruit production and export 3.1.1 The fact of the Vietnam vegetable and fruit production Vietnam has the advantage of climate and soil conditions with over 70% of the population working in agriculture and above 1.5 million hectares of area for vegetable cultivation However, Vietnam's vegetable and fruit exports in 2018 reached about 3.52 billion USD, accounting for a very small share of the total global vegetable and fruit trade of nearly 1,000 billion USD, not to mention the domestic market of more than 90 million people with the growing demand Moreover, the trend of high technology investment in the agricultural industry grows more and more strongly Until September 2019, the vegetable cultivation area nationwide reached nearly 980 thousand hectares and increased 1.8% with yielding about 172.2 quintals / The Vietnamese vegetable structure is diverse and plentiful with the current large-yield vegetables such as choy sum, cabbage, cucumbers, corn, water spinach and some spice vegetables such as onions, garlic, etc Regarding fruits, the area of fruit cultivation of the whole country in 2018 reached 923.2 thousand hectares, an increase of 4.4% compared to 2017, mainly increased in fruit trees such as oranges, grapefruit, dragon fruits, papaya 3.1.2 The fact of the Vietnam fruits and vegetables 3.1.2.1 Vietnam's export turnover of fruits and vegetables Vietnam's export turnover of fruits and vegetables continuously increased by about 30% compared to the previous year as of 2017, and then increased by about 10% in 2018 Especially export turnover of fruits and vegetables in 2017 increased by more than 40% compared to the previous year in 2016 It was the first year that vegetable and vegetable export turnover surpassed crude oil and rice and was among the Top items with export turnover of over billion US dollars In 2019, however, the export turnover of vegetables and fruits decreased in three consecutive months (from May to July) with the decrease of 23.1%, 21.8% and 11% in turn (Nhat Ha, 2019) It was considered as the temporary situation because China ended the Vietnam's quota export and changed into the official one from June 1, 2019 3.1.2.2 Structure of Vietnam's fruits and vegetables In particular, fruits are the main export products, accounting for the highest proportion in the structure of Vietnam's exported fruit and vegetables, and followed by the other products including flowers, processed products, fresh vegetables and leaves 3.1.2.3 Structure of Vietnam’s export market of fruits and vegetables Regarding the export markets, Vietnam's vegetables and fruits have been exported to more than 60 countries and territories until March, 2019 The main export markets for fruits and vegetables of Vietnam are China, followed by the US, South Korea and Japan, which are also the main export markets of Vietnam 3.2 The components of the Vietnam exported fruits and vegetable supply chain The thesis has pointed out the structure and the fact of each component in Vietnam exported fruits and vegetable supply chain It has started to invest on farmers or made the contract with farmers in charge of carrying out the segments of production including seed selection, fertilizer, harvesting and preliminary processing After that, traders usually buy from farmers in the same area and move to processing enterprises or small traders in the purchasing centers or wholesale markets or export and trade enterprises From here vegetables and fruits will be exported to partners, which are foreign import enterprises, and delivered to the last consumers 3.3 The collaboration of the Vietnam exported fruits and vegetable supply chain According to the survey of 138 enterprises, the co-operative plays a central role as collaboration in the Vietnam exported fruits and vegetable supply chain Many enterprises, which filled in the survey, said that they just started to know about the concept of “collaboration in supply chain” or even never heard about this before and nearly 55% of them said that they have heard about this before Because of the limited knowledge about the collaboration, enterprises , as well as input and output partners have many difficulty in the degree of collaboration in the current supply chain 3.3.1 The fact of the collaboration in the Vietnam exported fruits and vegetable supply chain When considering the collaboration in the Vietnam exported fruits and vegetable supply chain, the author assessed based on the criteria mentioned in Section 2.2.3, including: The synchronization decision According to the overall assessment (the average value of the COL1 scale), this criterion is the highest, it means that the partners collaborate primarily through joint planning in supply chain operations Collaboration is shown at the first step of chain operations and also demonstrates the will of the parties wishing to collaborate The linkage between the parties is still weak and unsustainable In addition, 90% of Vietnam vegetables and fruits are exported in raw and semi-processed form, leading to less collaboration in processing activities and planning of supply chain activities The collaborative execution system This indicator reflects a lower average value (COL2) The system of collaborative implementation in Vietnam exported fruits and vegetable supply chain is demonstrated through the evaluation of contracts between farmers and processing enterprises Regarding to the chain, these contracts are mainly fulfilled through an intermediary stage, called traders According to the Southern Fruit Institute, 2.5% of fruits and vegetables is directly signed between businesses and growers, while the remaining 97.5% of them are consumed under contracts signed with traders and intermediaries Thus, farming contracts, showing the collaboration between the parties in the chain, have appeared and implemented in a small number of enterprises but have not achieved the best effect The incentive linkage This is shown in working together to develop market and new product (COL3), on the other hand, the value of this observation is not high (3.22) Although members of the chain expressed their desire to collaborate, the incentive linkage was not from members in the relationship between growers and exporters of fruits and vegetables It was mainly promoted through measures and policies of government The procedure of a creative supply chain A creative supply chain owns a procedure that ensures the unification and the flexibility in all activities of the network.Vietnam exported fruits and vegetable supply chain will be closely analyzed in terms of produce traceability to assess this issue One the one hand, the consumers’ requirement for the quality of the goods becomes higher and higher One the other hand, the inputs used by the farmers who take responsibility for planting products are not under control of the exporting companies The produce traceability of Vietnam exported fruits and vegetable supply chain seems to be not standardized enough because all relating information is simply recorded by the farmers’ handwritten books The enterprises collect them from the farmers as their method for produce traceability Information sharing The observation value - COL5 ( the elements in supply chain share information frequently) was at the point of 3.22 This number was over the mean point but still in a low point Though these elements have connected to inform the others, they haven’t supported each other to find solutions while problems come up Instead, they have tried to define who would be at fault, and then let themselves manage as responsibility 3.3.2 The assessment of the fact about the collaboration in Vietnam exported fruits and vegetable supply chain Achievements There exists factors building the collaboration of Vietnam exported fruits and vegetable supply chain In addition, Vietnamese government continued to have certain actions to make the relationships among the farmers, the representatives of the farmers, and the exporters tighter by doing trade promotions in Vietnam and a lot of campaigns to promoting Vietnam fruits and vegetables in other countries Limitations The farmer haven’t given information directly to the exporter The flow of these information often goes through the dealers.The farming contracts has been put into practices, but it doesn’t work to make the links among the parties tighter as much as expected There still exists unsynchronized decisions and lacks encouragement to more interactions between the farmer and the exporter In conclusion, Traceability , the key issue of the creative supply chain, still implies many difficulties such as: the infrequentlyupdated data, the limitation of applying advanced technology The research and development in it have not been practical enough to come into true 3.3.3 The benefits and difficulties in pushing the collaboration of Vietnam exported fruits and vegetable supply chain Benefits The freedom trade agreements that Vietnam signed have taken effect, so that the elements in the supply chain have more chances of meeting the others, specially for Vietnam exporting fruits and vegetables enterprises and their own foreign business partners Besides, these freedom trade agreements contain clauses helping to improve the productivity of supply chain with an unification and convenient working style That contributes much to the increase in collaboration of Vietnam exported fruits and vegetable supply chain The fruits and vegetables’ consumption has continually grown up It causes the increase in exporting activity Therefore, the efficiency of the supply chain requires every element in it to collaborate together for the most utilization As a result, every member in the supply chain will get a higher profit Difficulties The quality and the safety of products have still not been in high It prevents Vietnamese exporting companies having more chance of doing business with foreign ones As a result, the collaboration in the supply chain becomes weaker Keeping supply sources stable and holding enterprises’ prestige The international partners have concerned about the sustainability of Vietnamese supply sources and the ability to complete obligations In both long-term and short-term, Vietnam should take more actions to build a stronger belief or trust or they may loose many potential chances Raising a higher awareness about market development, improving ability competency Pricing is one of the warning issues that Vietnamese exporting fruits and vegetables companies have to face Because of the limitation of the scale of the farms and the production capacity, Vietnamese companies find it hard to compete with same products, especially vegetables and fruits from China Therefore, in long running, Vietnamese enterprises should focus long-term goals when conducting research to develop stronger with priority to enhancing the cooperation with the elements of Vietnam's export vegetable and fruit supply chain 3.4 Quantitative analysis of factors affecting the collaboration in Vietnam exported fruits and vegetable supply chain 3.4.1 Results of evaluating Cronbach’s Alpha scale and analysing exploratory factor EFA The author runs Cronbach’s Alpha in turn for each factor After the first run, the observed variable TRU5 is rejected because the correlation coefficient of the total is 0.212 which is less than 0.3 and if this observation is excluded, the result of Cronbach’s Alpha will increase After eliminating the TRU5 observation from the research model, all scales have the Cronbach’s Alpha coefficient satisfactory because they are all greater than 0.6, the correlation coefficients of the total are all higher than 0.3 Particularly for the observed variable GS2, if this variable is rejected, the Cronbach's Alpha coefficient will increase, but because the correlation of the total is 0.529 which is still greater than 0.3 and and as keeping this observation, the Cronbach’s Alpha coefficient on the scale of government support remains high (0.825) so the author decided to keep it for EFA factor analysis Thus, Cronbach’s Alpha analysis only removes TRU5 observation, all the remaining observations for the scales are retained for EFA analysis In terms of Exploratory Factor Analysis EFA, the author removes the CMM5 observation as rotating Varimax produce, there appears the CMM5 observation uploaded at both factors After eliminating the CMM5 observation, the observed variables are convergent and distinct, the observed variables of the factors are correlated with each other as a whole, so the EFA analysis results are appropriate for use in this research 3.4.2 Examination of the research model hypothesis with Pearson correlation analysis and multivariate linear regression Pearson's correlation analysis shows that the collaborative variable in the supply chain is correlated with the remaining variables with significance level p-value = 0.000, where trust and power are more strongly correlated with collaboration than other variables and collaboration in the supply chain is less correlated Next, the author analyzes linear regression to test the hypothesis and the research model with collaboration in supply chain is a dependent variable and factors of trust, power, commitment, cultural, business strategy, government support are independent variables The results show that the adjusted R squared reflects the degree of influence of the independent variables on the variation of the dependent variable, in this case factors affect 74.7% of the change in collaboration, 25.3% is due to factors other than the model and random errors Durbin-Watson coefficient is 1.872 in the range of 1.5 - 2.5 so there is no phenomenon of first-order autocorrelation Then the author continues to examine the suitability of the model in order to check whether this regression model is suitable for the data set collected and of practical significance through ANOVA test as follows: Sig tests F = 0.000