Search results
1 – 10 of over 6000Guangkuan Deng, Jianyu Zhang, Lijuan He and Ying Xu
Drawing on the wisdom of ancient Chinese philosopher Xunzi, this paper aims to present a novel mechanism for governing opportunism, referred to as “cultivational governance.” By…
Abstract
Purpose
Drawing on the wisdom of ancient Chinese philosopher Xunzi, this paper aims to present a novel mechanism for governing opportunism, referred to as “cultivational governance.” By examining the role of artificial intelligence (AI) resources possessed by e-commerce platforms, the authors explore how these resources contribute to mitigating seller opportunism. The central hypothesis of this study posits that two distinct types of AI resources, namely, AI technology resources and AI human resources, serve as crucial factors in curbing seller opportunism. Furthermore, the authors propose that platform digital empowerment and value cocreation act as mediating variables linking AI resources to opportunism.
Design/methodology/approach
Based on the resource-based view and resource orchestration theory, the authors developed a framework and tested it using survey data from sellers. This framework encompasses five key variables: e-commerce platform’s AI technology resources, AI human resources, platform digital empowerment, value cocreation and seller opportunism. Regression analysis was used for data analysis.
Findings
The empirical results validate the effectiveness of cultivational governance mechanisms, as both AI resources effectively suppress seller opportunism through digital empowerment and value cocreation. Specifically, e-commerce platforms’ AI technology resources significantly promote value cocreation and platform digital empowerment, while AI human resources primarily contribute to platform digital empowerment. Although platform digital empowerment encourages value cocreation, its direct impact on reducing seller opportunism was not supported. Notably, value cocreation negatively affects seller opportunism.
Originality/value
The present research mainly contributes to the marketing channel governance literature by introducing a new approach to inhibit opportunism, namely, the cultivational governance mechanism.
Details
Keywords
Tao Wang, Linhao Han, Zhilin Yang and Yu Jia
The purpose of this study is to determine the dimensions of cultural differences, which are theoretically most relevant to contract functions in international marketing. Moreover…
Abstract
Purpose
The purpose of this study is to determine the dimensions of cultural differences, which are theoretically most relevant to contract functions in international marketing. Moreover, the contradiction between contract governance and opportunism is reconciled by exploring the boundary conditions of specific cultural differences.
Design/methodology/approach
The authors obtained 235 bilateral data provided by Chinese exporters and overseas distributors. The authors matched a secondary data set with the questionnaire data, which were analyzed by confirmatory factor analysis and a hierarchical moderation model.
Findings
The results demonstrate that while contract specificity is less successful in this area, contingency adaptability is useful in reducing opportunism. Moreover, as the national cultural differences regarding uncertainty avoidance, power distance or individualism-collectivism become more pronounced. One contractual dimension will be more effective at curbing opportunism, while the other will be less effective.
Research limitations/implications
Despite sample limitations, to the best of the authors’ knowledge, this paper is the first to theoretically identify the effect of cultural difference dimensions in contract governance, unlike past studies taking cultural differences as an aggregated variable. Furthermore, by exploring the boundary conditions of cultural differences, this paper effectively reconciles the conflicting findings on the relationship between contract governance and opportunism in various cultural context.
Practical implications
Exporters’ managers can design contingency adaptability to complement the limitations of contract specificity and consider cultural differences’ contingency effects.
Originality/value
First, the authors identify cultural differences dimensions related to contract governance, refining and emphasizing the research context. Second, comparing the efficacy of contract specificity and contingency adaptability in specific cultural context can show which contract is better at preventing opportunism.
Details
Keywords
Swati Panda, Satyendra C. Pandey, Audhesh K. Paswan and Lou E. Pelton
Although multiple forms of governance mechanisms have been studied to address the opportunistic behavior in franchising, research has not shed light on franchise systems operating…
Abstract
Purpose
Although multiple forms of governance mechanisms have been studied to address the opportunistic behavior in franchising, research has not shed light on franchise systems operating in emerging markets despite exponential growth in these markets. To address this gap, this study aims to test the direct effects of different governance mechanisms on franchisee’s opportunism and moderating effects of franchisee’s relationship satisfaction on the relationship between different governance mechanisms and franchisee’s opportunism.
Design/methodology/approach
Survey data from 151 franchise owners were used to test the conceptual model and research hypotheses. The confirmatory factor model and structural equation model were tested by using AMOS.
Findings
Findings suggest that formalization and solidarity in franchising relationships negatively affect franchise opportunism. By contrast, franchisees, who are otherwise satisfied with their franchisor, find centralization and formalization oppressive and, therefore, engage in opportunistic activities.
Research limitations/implications
The study makes important contributions related to franchising in emerging markets. It addresses opportunistic behavior by franchisees in emerging markets and the role played by different governance mechanisms in curbing such behavior. The study has some limitations related to its cross-sectional design and its focus on a single emerging country, among others.
Originality/value
This study is among the first to examine the role of governance mechanisms to address franchisee’s opportunism in an emerging market context. The study’s findings have important theoretical and practical implications for governance design in business-to-business relationships in emerging markets.
Details
Keywords
Ho-Taek Yi, Minkyung Lee and Fortune Edem Amenuvor
This study which is positioned in the ambit of control research investigates the impact of ex ante contractual completeness on opportunistic behaviors and ex post transaction…
Abstract
Purpose
This study which is positioned in the ambit of control research investigates the impact of ex ante contractual completeness on opportunistic behaviors and ex post transaction costs, while assessing how these affect relationship termination intention. This study aims to examine alternative attractiveness as a necessary moderator of the nexus between transaction cost and relationship termination intention.
Design/methodology/approach
Data gathered from 211 companies in South Korea that have installed and run outsourced vending machines are analyzed and used to validate the study’s theoretical and empirical contributions.
Findings
The findings, which rely only on data from companies that outsource and those that run outsourced vending machines, show that contractual completeness negatively affects both active and passive opportunism. The study also discovers that active opportunism positively affects both bargaining costs and monitoring costs, whereas passive opportunism has a positive and direct effect on maladaptation costs but a negative effect on monitoring costs. It further finds that both bargaining and maladaptation costs have positive and direct effects on relationship termination intention, while monitoring costs have a negative effect on the same. Furthermore, it is observed that alternative attractiveness moderates the relationships between bargaining costs and relationship termination intention, as well as maladaptation costs and relationship termination intention.
Practical implications
This study demonstrates that contractual completeness can serve as an important ex ante control mechanism, whereas the two types of opportunism can raise transaction costs. Furthermore, alternative attractiveness is identified as a driver of the impact of transaction costs on relationship termination intention.
Originality/value
A key point of the departure of this study is that it examines the moderating role of alternative attractiveness in the relationship between transaction cost and relationship termination intention. The paper also advances the control literature by emphasizing the critical role that contractual completeness plays in reducing the occurrence of (both active and passive) opportunism in business relationships (especially companies that outsource).
Details
Keywords
Yogesh Mungra and Prabhat Kumar Yadav
A successful relationship between manufacturer and supplier is vital for the pursuit of mutual benefits, which can be affected by one of the partners’ opportunistic behavior…
Abstract
Purpose
A successful relationship between manufacturer and supplier is vital for the pursuit of mutual benefits, which can be affected by one of the partners’ opportunistic behavior, causing disequilibrium in the existing relationship. The extant research has mainly focused on opportunism as a single phenomenon rather than the detectable strong form and unnoticeable weak form of opportunistic behavior in an exchange relationship that affects the relational outcomes in various ways. This study aims to contribute toward explaining the effect of economic and social forces on a strong and a weak form of opportunism and, in turn, its impact on relational outcomes in manufacturer-supplier relationships.
Design/methodology/approach
A sample of 361 manufacturers was drawn randomly using a sampling frame from the western part of India. The authors used covariance-based structural equation modeling to support the proposed model empirically. The authors examined the effect of social capital and transaction cost dimensions on different forms of a supplier’s opportunism.
Findings
All three dimensions of social capital have a different impact on both the forms of a supplier’s opportunism in the relationship. The authors found that social capital moderates the relationship between transaction-specific investments on a weak form of opportunism, while social capital is more valuable in curbing opportunism due to the effect of environmental uncertainty and behavioral uncertainty. The authors found that the supplier’s weak form of opportunism than the strong form has a more amplifying effect on governance costs.
Originality/value
This research contributes in three different ways. First, it inquires about the direct effect of transaction cost dimensions and social capital dimensions on a supplier’s multifaceted opportunism (strong form and weak form) in the manufacturer-supplier relationship. Second, it investigates the moderating effect of social capital on the relationship between transaction cost dimensions and forms of supplier opportunism. Third, the weak form of a supplier’s opportunism affects more significantly than the strong form of opportunism on governance costs.
Details
Keywords
The purpose of this research is to expand a better understanding of how corporate social responsibility (CSR) initiatives affect climate for innovation and opportunism within…
Abstract
Purpose
The purpose of this research is to expand a better understanding of how corporate social responsibility (CSR) initiatives affect climate for innovation and opportunism within architectural design firms (ADFs).
Design/methodology/approach
The literature review and discussions with industry practitioners identified an initial list of variables. A questionnaire survey was developed, validated and delivered to employees working in ADFs. 226 valid responses were collected. Then, the structural equation modeling (SEM) method was employed to empirically investigate the relationships between CSR performance, climate for innovation and opportunism in a single integrative model.
Findings
The results empirically support that CSR performance has a positive effect on climate for innovation and a negative effect on opportunism. In addition, climate for innovation shows a negative effect on opportunism.
Research limitations/implications
This research highlights that CSR performance is essential for ADFs to better achieve sustainable development. By doing CSR activities, climate for innovation in ADFs is expected to be improved, and a sense of opportunism is mitigated. The findings of this paper are explicitly delivered in the context of Vietnamese ADFs and could not be straightforwardly generalized or translated to the construction industry or other sectors in different research contexts.
Practical implications
The findings show that a climate for innovation is crucial in ADFs. Business managers are encouraged to employ CSR initiatives to foster an innovation climate and reduce a sense of opportunism within ADFs.
Originality/value
This study is one of the first attempts to investigate the relationships between CSR performance, climate for innovation, and opportunism within ADFs. While the findings highlight the critical role of CSR performance, the study argues that CSR should be carefully implemented because there are no “one-size-fits-all” CSR strategies for different business contexts.
Details
Keywords
Tugba Gurcaylilar-Yenidogan and Dilek Erdogan
Based on a survey study of 138 software buyers in Turkey, this study examines conditional indirect effects of requirements uncertainty on supplier opportunism where buyer…
Abstract
Purpose
Based on a survey study of 138 software buyers in Turkey, this study examines conditional indirect effects of requirements uncertainty on supplier opportunism where buyer dependence, a proxy for relation-specific investments, undertakes a mediator role. The authors consider a two-level moderation effect of trust and contract in buyer–supplier relationships throughout the software project lifecycle.
Design/methodology/approach
A survey-based empirical study was conducted, and conditional process analyses were run using PROCESS macro in SPSS. The present study tests a two-stage moderated mediation model in which competence-based trust with a detailed contract setting moderates the mediational path from requirements uncertainty to buyer dependence.
Findings
The data obtained from the buyer side in the Turkish software industry showed that a relationship in which the buyer is structurally dependent begins at a high level of trust. On the other hand, the authors found that contractual rigidity fosters supplier opportunism ex-post in evolving process of the relationship.
Originality/value
This study contributes to project management literature by testing a two-level moderation effect of governance and the mediator role of buyer dependence in the relationship between requirements uncertainty and supplier opportunism. Moving differently from the previous studies, this study integrates contributions of both economic perspectives, such as resource dependence theory and transaction cost analysis, and relational perspectives into the information processing view.
Details
Keywords
Wenqian Guo, Wenxue Lu and Fei Kang
The understanding of how to mitigate opportunism in construction projects is still limited and conflicting. The complexity of causalities and interdependence among antecedents of…
Abstract
Purpose
The understanding of how to mitigate opportunism in construction projects is still limited and conflicting. The complexity of causalities and interdependence among antecedents of opportunism (transaction characteristics and governance mechanisms) is the major obstacle to current research. This study takes a holistic perspective to explore the different combinations of conditions that lead to high opportunism and low opportunism in project management.
Design/methodology/approach
Through 2 phases of the interview and questionnaire survey, the 91 valid survey data were collected from the buyer–seller relationships in construction projects and analyzed by adopting fuzzy-set qualitative comparative analysis.
Findings
A single transaction characteristic is rarely sufficient to explain opportunism, and combinations of different transaction characteristics and governance mechanisms (performance ambiguity, asset specificity, buyer's requirement certainty, informal control, and formal control) have different effects on opportunism. In the case of extremely unsatisfactory transaction characteristics, even the combination of formal and informal control cannot prevent high opportunism. The combination including low-formal control and high-asset specificity easily leads to high opportunism. Besides, performance ambiguity is a vital factor in mitigating high opportunism or achieving low opportunism.
Originality/value
Previous studies have always addressed the role of one or some factors independently and separately. This study is one of the first to explore the different combinations of conditions that result in high opportunism and low opportunism in project management based on transaction costs economics and agency theory.
Details
Keywords
Byung-Gak Son, Hyojin Kim, Daesik Hur and Nachiappan Subramanian
In this paper, the authors seek to contribute to the supply chain digitalisation literature by investigating a potential dark side of supply chain digitalisation from the…
Abstract
Purpose
In this paper, the authors seek to contribute to the supply chain digitalisation literature by investigating a potential dark side of supply chain digitalisation from the viewpoint of the small and medium-sized enterprise (SME) suppliers, namely digital capability asymmetry and the partner opportunism of more digitally capable large buyers against SME suppliers. The authors seek to contribute further to the governance literature by investigating the effectiveness of the governance mechanism (legal contracts and relational contracts) in suppressing partner opportunism of this nature.
Design/methodology/approach
Using survey data collected from 125 Korean SMEs, the authors employed a hierarchical regression method to test a set of hypotheses focussing on the dark side of supply chain digitalisation and the effectiveness of the governance mechanism.
Findings
The study’s findings suggest that supplier-perceived digital capability asymmetry, wherein a buyer has a superior digital capability than its SME supplier, increases the SME supplier's dependence on the more digitally capable buyer, with the result that it is more exposed to buyer opportunism. Moreover, the results suggest that only relational governance is effective in protecting SME suppliers from buyer opportunism of this nature.
Originality/value
So far, the overwhelming majority of supply chain digitalisation research has debated its “bright side”. On the contrary, from the resource dependence theory perspective, this paper explains its dark side by providing empirical evidence on (1) the links between supplier-perceived digital capability asymmetry and a buyer's opportunism through an increased supplier's dependence and (2) the effectiveness of different types of governance in opportunism suppression.
Details
Keywords
Zhigang Shou, Yu Gong and Qiyuan Zhang
Interorganizational dependence is considered as a liability for each firm and needs to be managed properly. Rather than exploring the opportunistic outcome of dependence, the…
Abstract
Purpose
Interorganizational dependence is considered as a liability for each firm and needs to be managed properly. Rather than exploring the opportunistic outcome of dependence, the authors focus on the moderating role of supply chain boundary spanners' guanxi. This study tends to uncover the way and the conditions under which boundary spanners' guanxi influences dependence-opportunism relationships.
Design/methodology/approach
Using a survey of 380 buyer–supplier exchanges in China, this study first examines the relationship between dependence and opportunism, then assesses the contingent role of boundary spanners' guanxi and further tests how unfairness perception and legal inefficiency alter the role of guanxi in managing dependence.
Findings
This study finds that buyer dependence increases supplier opportunism while supplier dependence lowers supplier opportunism. Boundary spanners' guanxi weakens the opportunism-facilitating impact of buyer dependence and mitigates the opportunism-restricting effect of supplier dependence. However, unfairness perception would attenuate the value of guanxi in restricting depended sides' opportunism but strengthen the value of guanxi in motivating depending sides' opportunism; legal inefficiency would amplify the value of guanxi in facilitating depending suppliers' opportunism.
Originality/value
First, the study enriches supply chain dependence studies by incorporating interpersonal guanxi into the investigation of dependence-opportunism relationships. Second, the study adds to the supply chain management literature by uncovering a contrasting role of guanxi in influencing the dependence-opportunism relationship. Third, the study incorporates an agency view to uncover two boundary conditions under which guanxi is mobilized for personal interest seeking or for organizational purposes.
Details