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Article
Publication date: 2 March 2015

Chanchai Tangpong, Michael D. Michalisin, Rodney D Traub and Arlyn J. Melcher

The purpose of this study is to review the existing typologies of buyer-supplier relationships (BSRs) in the literature, to critically assess their dimensions and underlying…

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Abstract

Purpose

The purpose of this study is to review the existing typologies of buyer-supplier relationships (BSRs) in the literature, to critically assess their dimensions and underlying assumptions, and to propose a more complete BSR typology and future directions for BSR typology research.

Design/methodology/approach

This study takes a conceptual approach in highlighting the limitations of existing BSR typologies and synthesizing their key typology-defining variables when proposing an alternative BSR typology.

Findings

The proposed BSR typology is based on alternative behavioral assumptions: bounded rationality and choice-determinism, and uses relationalism, supplier dependence and buyer dependence as the typology-defining variables. This BSR typology captures four prominent BSR types in the extant literature (i.e. market/discrete relationship, captive-buyer/supplier-dominant relationship, captive-supplier/buyer-dominant relationship and strategic/bilateral partnership) and four new BSR types developed in this study (i.e. supplier-led collaboration, buyer-led collaboration, competitive/win–lose partnership, and free will/voluntary collaboration).

Research limitations/implications

The performance implications of the new BSR types have yet to be empirically tested; however, empirical approaches for future research are discussed.

Originality/value

As BSR typology research has been conducted over the years, a thorough review and systematic assessment of the extant research in terms of fundamental assumptions, typology-defining variables, overall progress and limitations becomes an important reflective task in guiding future research efforts toward the collective advancement in this line of inquiry. Departing from the existing literature, this study also uses more realistic BSR assumptions and a more complete set of typology-defining variables in developing an alternative BSR typology, arguably more complete and more theoretically sound than the previous BSR typologies in the literature.

Details

Journal of Business & Industrial Marketing, vol. 30 no. 2
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 4 August 2021

Jin Li, Linlin Chai, Chanchai Tangpong, Michelle Hong and Rodney D. Traub

This study aims to examine empirically the existence of four classical and four emerging buyer–supplier relationship (BSR) types and how they differ in terms of behavioral…

Abstract

Purpose

This study aims to examine empirically the existence of four classical and four emerging buyer–supplier relationship (BSR) types and how they differ in terms of behavioral dynamics and performance measures.

Design/methodology/approach

This study uses an online survey to collect data from 371 purchasing managers in the USA.

Findings

A cluster analysis statistically supports the existence of five of these eight BSR types, including strategic/bilateral partnership, market/discrete, supplier-led collaboration, captive supplier/buyer dominant and captive buyer/supplier dominant BSRs. Further, ANOVA tests show that these five BSRs differ in terms of behavioral outcomes and performance measures.

Research limitations/implications

This study is based on a cross-sectional survey so it cannot examine how these BSR types may evolve over time, and it is not suitable to examine some rare types of BSRs. In addition, this study does not consider contextual factors that may moderate the influence of BSR types on the behavioral dynamics and performance measures.

Practical implications

Managers should consider the potential to be able to develop and enhance a strategic/bilateral relationship with their supply chain partners, which in at least some circumstances can lead to superior performance results. Similar observations can be made with respect to supplier-led and, to a lesser degree, buyer-led collaboration.

Originality/value

Most existing research of the BSR types is largely a product of theoretical classifications, and there is also a lack of research of their performance implications. This study fills these gaps in the literature.

Details

Journal of Business & Industrial Marketing, vol. 37 no. 4
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 5 July 2018

Yiyi Fan and Mark Stevenson

This paper aims to investigate how supply chain risks can be identified in both collaborative and adversarial buyer–supplier relationships (BSRs).

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Abstract

Purpose

This paper aims to investigate how supply chain risks can be identified in both collaborative and adversarial buyer–supplier relationships (BSRs).

Design/methodology/approach

This research includes a multiple-case study involving ten Chinese manufacturers with two informants per organisation. Data have been interpreted from a multi-level social capital perspective (i.e. from both an individual and organisational level), supplemented by signalling theory.

Findings

Buyers use different risk identification strategies or apply the same strategy in different ways according to the BSR type. The impact of organisational social capital on risk identification is contingent upon the degree to which individual social capital is deployed in a way that benefits an individual’s own agenda versus that of the organisation. Signalling theory generally complements social capital theory and helps further understand how buyers can identify risks, especially in adversarial BSRs, e.g. by using indirect signals from suppliers or other supply chain actors to “read between the lines” and anticipate risks.

Research limitations/implications

Data collection is focussed on China and is from the buyer side only. Future research could explore other contexts and include the supplier perspective.

Practical implications

The types of relationships that are developed by buyers with their supply chain partners at an organisational and an individual level have implications for risk exposure and how risks can be identified. The multi-level analysis highlights how strategies such as employee rotation and retention can be deployed to support risk identification.

Originality/value

Much of the extant literature on supply chain risk management is focussed on risk mitigation, whereas risk identification is under-represented. A unique case-based insight is provided into risk identification in different types of BSRs by using a multi-level social capital approach complemented by signalling theory.

Details

Supply Chain Management: An International Journal, vol. 23 no. 4
Type: Research Article
ISSN: 1359-8546

Keywords

Article
Publication date: 26 September 2023

Ania Izabela Rynarzewska, Stephen LeMay and Dave McMahon

This study aims to examine small-firm shifts in behavior during major supply chain disruptions that change supply chains permanently. The study focuses on small to mid-sized…

Abstract

Purpose

This study aims to examine small-firm shifts in behavior during major supply chain disruptions that change supply chains permanently. The study focuses on small to mid-sized enterprise (SME) responses to suppliers’ opportunistic behaviors within a larger disruptive environment. The study addresses two broad research questions: how do small businesses adapt to supply chain disruptions, and under what conditions are such adoptions warranted?

Design/methodology/approach

This study used mixed methods, a qualitative netnography and a quantitative analysis of survey data. It tested a model based on responses from members of an online business-to-business community. The model development was driven by the findings from netnography and two theoretical lenses.

Findings

The responses suggested a strong relationship between the two theoretical approaches. The conditions described by the resource-based view (RBV) of the firm led to many real options. Supply chain disruptions and deceptive suppliers triggered rapid adaptation through traditional marketing tactics and strategies. Changes in the supply chain, and place, led to responses in price, promotion and product. Respondents hoarded, developed relationships with new, nonopportunistic suppliers and changed prices, products and product mixes. They developed cooperative relationships – coopetition – to deal with shared problems.

Originality/value

This study interprets supply chain disruptions through the lens of marketing in SMEs; it combines qualitative and quantitative methods to better understand supply chain disruptions in a marketing context; it applies the real options theory and the RBV of the firm to marketing in the context of supply chain disruptions, and it reflects real-time small-firm behavior in a crisis.

Details

Journal of Business & Industrial Marketing, vol. 39 no. 1
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 7 October 2013

Jin Li, Chanchai Tangpong, Kuo-Ting Hung and Tony R. Johns

The purpose of this paper is to better understand the main effects of agent conscientiousness and reciprocity norm and the interaction effect of these two factors on contract…

Abstract

Purpose

The purpose of this paper is to better understand the main effects of agent conscientiousness and reciprocity norm and the interaction effect of these two factors on contract adjustment decisions in buyer-supplier relationships.

Design/methodology/approach

Two scenario-based experiments with college students and business professionals were conducted. Three regression models were run to test three hypotheses proposed in the paper.

Research limitations/implications

The limitations of this study are the use of single-agent decision scenarios and the specific focus on one aspect of agent personality – i.e. conscientiousness and its collective influence on contract adjustment decisions. In a broader picture, the results of this study support the cross-level analytical approach to investigating marketing channel relationships, in which individual-level and organizational-level factors interact and determine decision outcomes in business exchanges.

Practical implications

Recruiting and promoting managers who exhibit high levels of conscientiousness, coupled with proactively cultivating the norm of reciprocity with suppliers, are critical to a firm's thrust in attaining and sustaining marketing channel management practices with the emphasis on reciprocity-based exchange relationships.

Originality/value

While the extant literature focuses largely on interfirm governance and contract enforcement, this study examines what actually influences decision-making agents' contract adjustment decisions. This study expands the marketing literature by investigating the impacts of agent conscientiousness and reciprocity norm on contract adjustment decisions.

Details

Journal of Business & Industrial Marketing, vol. 28 no. 8
Type: Research Article
ISSN: 0885-8624

Keywords

Book part
Publication date: 7 October 2015

Azizah Ahmad

The strategic management literature emphasizes the concept of business intelligence (BI) as an essential competitive tool. Yet the sustainability of the firms’ competitive…

Abstract

The strategic management literature emphasizes the concept of business intelligence (BI) as an essential competitive tool. Yet the sustainability of the firms’ competitive advantage provided by BI capability is not well researched. To fill this gap, this study attempts to develop a model for successful BI deployment and empirically examines the association between BI deployment and sustainable competitive advantage. Taking the telecommunications industry in Malaysia as a case example, the research particularly focuses on the influencing perceptions held by telecommunications decision makers and executives on factors that impact successful BI deployment. The research further investigates the relationship between successful BI deployment and sustainable competitive advantage of the telecommunications organizations. Another important aim of this study is to determine the effect of moderating factors such as organization culture, business strategy, and use of BI tools on BI deployment and the sustainability of firm’s competitive advantage.

This research uses combination of resource-based theory and diffusion of innovation (DOI) theory to examine BI success and its relationship with firm’s sustainability. The research adopts the positivist paradigm and a two-phase sequential mixed method consisting of qualitative and quantitative approaches are employed. A tentative research model is developed first based on extensive literature review. The chapter presents a qualitative field study to fine tune the initial research model. Findings from the qualitative method are also used to develop measures and instruments for the next phase of quantitative method. The study includes a survey study with sample of business analysts and decision makers in telecommunications firms and is analyzed by partial least square-based structural equation modeling.

The findings reveal that some internal resources of the organizations such as BI governance and the perceptions of BI’s characteristics influence the successful deployment of BI. Organizations that practice good BI governance with strong moral and financial support from upper management have an opportunity to realize the dream of having successful BI initiatives in place. The scope of BI governance includes providing sufficient support and commitment in BI funding and implementation, laying out proper BI infrastructure and staffing and establishing a corporate-wide policy and procedures regarding BI. The perceptions about the characteristics of BI such as its relative advantage, complexity, compatibility, and observability are also significant in ensuring BI success. The most important results of this study indicated that with BI successfully deployed, executives would use the knowledge provided for their necessary actions in sustaining the organizations’ competitive advantage in terms of economics, social, and environmental issues.

This study contributes significantly to the existing literature that will assist future BI researchers especially in achieving sustainable competitive advantage. In particular, the model will help practitioners to consider the resources that they are likely to consider when deploying BI. Finally, the applications of this study can be extended through further adaptation in other industries and various geographic contexts.

Details

Sustaining Competitive Advantage Via Business Intelligence, Knowledge Management, and System Dynamics
Type: Book
ISBN: 978-1-78441-764-2

Keywords

Article
Publication date: 12 June 2017

Muhammad Usman Ahmed, Mehmet Murat Kristal, Mark Pagell and Thomas F. Gattiker

This paper studies buyer–supplier relationships (BSRs) by taking a routine-based approach and develops a taxonomy of BSRs. Recent advances in the BSR literature have shown that…

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Abstract

Purpose

This paper studies buyer–supplier relationships (BSRs) by taking a routine-based approach and develops a taxonomy of BSRs. Recent advances in the BSR literature have shown that firms implement a host of diverse routines, called integrative practices, with their supply chain partners. Relationships differ based on what integrative practices are present in them. This paper aims to develop a taxonomy of supply chain relationships based on integrative practices measured at the relationship level.

Design/methodology/approach

The authors use survey data collected from North American manufacturers to establish the measurement properties of new relationship level constructs that represent different aspects of integration. Cluster analysis is used with these new constructs to develop a taxonomy of supply chain relationships. Regression and bootstrapping techniques are used to establish the predictive validity and stability of the taxonomy.

Findings

The results show four distinct types of relationships. On comparison, the authors find salient differences between their results and past classifications. As a result of taking a routine-based multidimensional view of integration, the authors find two types of relationships that have not been discovered by past taxonomies.

Originality/value

The new relationship level constructs will allow academics to have greater precision in their research questions on BSRs, as not all aspects of integration behave in the same manner. The four types of relationships identified by this study provide a useful framework to manage supply chain relationships for practitioners.

Article
Publication date: 23 October 2009

Azmawani Abd Rahman and David Bennett

Developing countries are heavily dependent on the resources and commitment of foreign providers to ensure successful adoption of advanced manufacturing technology (AMT). The…

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Abstract

Purpose

Developing countries are heavily dependent on the resources and commitment of foreign providers to ensure successful adoption of advanced manufacturing technology (AMT). The purpose of this paper is to describe the important role of buyer‐supplier relationships (BSRs) in the process of technology selection, acquisition and implementation.

Design/methodology/approach

A survey of 147 Malaysian manufacturing firms is the main instrument used in the research investigations and data analysis is carried out by the structured equation modelling (SEM) technique. In particular, the authors examine the impact on performance of different patterns of relationship between technology buyers and suppliers.

Findings

Although the majority of the firms reported improvements in their performance since the acquisition of AMT, closer investigation reveals that those demonstrating a closer relationship with their suppliers are more likely to achieve higher levels of technology and implementation performance (IP) than those that do not.

Research limitations/implications

The paper only assesses the strength of BSR from the buyers' perspective and they may have limited experience of acquisition, whereas suppliers may have more experience of selling AMT. Also, the research is undertaken in Malaysia and the findings may be different in other countries, especially where the technology being acquired is not imported but sourced locally.

Practical implications

The findings relating to BSR, technology acquisition and IP have important implications both for customers and supplier firms as well as for industrial policy makers in developing countries.

Originality/value

The result of the research provides useful insights that are especially pertinent to an improved understanding of BSRs in the procurement of capital equipment, about which the current research literature is limited.

Details

Journal of Manufacturing Technology Management, vol. 20 no. 8
Type: Research Article
ISSN: 1741-038X

Keywords

Article
Publication date: 13 September 2023

Veronica H. Villena, Li Cheng and Stefan Wuyts

As buyers and suppliers seek to create value, they face the challenge of creating an environment that promotes coordination and information sharing and discourages opportunism…

Abstract

Purpose

As buyers and suppliers seek to create value, they face the challenge of creating an environment that promotes coordination and information sharing and discourages opportunism. While the literature suggested dyadic mechanisms to create such an environment, this study focuses on ties beyond the buyer–supplier dyad. Specifically, close connections to one's partner's partners (CPP) are crucial in the realization of benefits for buyers and suppliers.

Design/methodology/approach

Drawing from embeddedness theory and governance theory, the authors developed a contingency framework to examine when CPP are beneficial or counterproductive considering two dyadic attributes – relational capital (RC) and partner dependence. Analyses were conducted using data from a dyadic survey complemented with archival data on 106 buyer–supplier relationships (BSRs).

Findings

The study reveals that CPP both help and hurt in the realization of benefits. Stark asymmetries exist between the impact of CPP on the buyer and supplier sides. For buyers, CPP exert a direct positive effect on operational and innovation benefits. For suppliers, the effect of CPP on operational and innovation benefits is contingent on buyer dependence and RC – CPP serves as a substitute for buyer dependence and RC. There are no such contingency effects for buyers. Further analysis identifies situations for suppliers when CPP hurt the realization of benefits.

Originality/value

The study highlights the importance of CPP to foster efficiency and innovation within BSRs and illustrates how their impact varies across contingency conditions and across the parties within a dyad.

Details

International Journal of Operations & Production Management, vol. 44 no. 4
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 27 July 2021

Murtaza Faruquee, Antony Paulraj and Chandra Ade Irawan

The purpose of this study is to investigate the role that communication, trust and digital transformation can play in the relationship between joint problem-solving and supply…

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Abstract

Purpose

The purpose of this study is to investigate the role that communication, trust and digital transformation can play in the relationship between joint problem-solving and supply chain resilience. More specifically, the authors try to examine the possibility of digital transformation as a replacement for trust within a joint problem-solving context.

Design/methodology/approach

A survey instrument was developed and administrated to manufacturing firms within the United Kingdom and the United States. Based on data collected from 291 senior managers, multiple linear regressions were conducted through a customized process model to test the proposed hypotheses.

Findings

The results point to the actual impact of digital transformation being far more complicated than the initial benefits that it appears to bring within a supply chain. Thus, technology is only effective when applied within the right context. The authors showcase that the trio of digital transformation, trust and joint problem-solving can be highly valuable to establish supply chain resilience and that further investigation on the interrelationships between these concepts is warranted.

Practical implications

Manufacturing firms that aim to adopt new technologies should not consider advanced digital technologies as an alternative to trust. While digital transformation can improve resource sharing and integration, governance mechanisms–such as trust–will remain the cornerstones of strategic supplier relationships. Therefore, supply chain partners must strive to achieve a balance between trust and the right type of digital technology.

Originality/value

This study contributes to the growing literature focusing on the role that digital transformation can play in developing supply chain capabilities. It adds an early empirical insight on the role of technology and governance in joint problem-solving and supply chain resilience.

Details

International Journal of Operations & Production Management, vol. 41 no. 7
Type: Research Article
ISSN: 0144-3577

Keywords

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