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The purpose of the paper is to develop a framework for low‐cost sourcing assessment and to explore the consequences of low‐cost sourcing in China for a European manufacturer.

The low‐cost sourcing framework generated from literature and the consequence analysis is based on a case study of a European company that has outsourced part of its casting processes to Chinese suppliers.

Characteristics of low‐cost sourcing are based on a literature review divided into three categories: country characteristics, supply network structure, and supply network relationships and the case study shows that these three categories of characteristics jointly create negative effects. A two‐directional cause and effect relationship is proposed between the characteristics and the operational supply chain performances. The presented low‐cost sourcing assessment framework should be a good starting point for low‐cost sourcing assessment, including mapping a firm's total characteristics, and for analysing their performance impact.

The conducted single case study is not enough for identifying, formulating, and validating all existing relationships between the low‐cost sourcing characteristics. The present study has identified the existence of the relationships but has not evaluated their levels of impact.

Managers should be aware of how suppliers in low‐cost countries may affect the structures, relations, and operational supply chain performances of the supply network. This paper presents a sourcing assessment framework enabling describing what dimensions of the sourcing characteristics would be affected by sourcing to a specific area of the world and what consequences and performance effects this would have.

Few prior studies have focused on companies with already established relationships with low‐cost‐country suppliers and how these companies should make the best out of these supply chains. This study takes a holistic perspective on low‐cost sourcing and identifies several streams for further research.

While the literature on multitier supply chain management traditionally assumes that first-tier suppliers belong to the visible proportion of the supply base, intermediaries might limit focal firms' visible horizon already at this stage. High power asymmetries promoting centrality and complexity in the supply network are seen as a particular root cause that limits the impact of governance mechanisms for sustainability. To map the space for governance mechanisms in a network-sensitive context more comprehensively, the study analyzes supply network characteristics from a power perspective.

This research is conceptual. To better understand power imbalances and mutual dependencies from network centrality and complexity, network configurations were constructed drawing on resource dependence theory. These configurations allow deducing the impact of (non-)mediated governance mechanisms for a sustainable development in the supply network. An agenda to stimulate future empirical and model-based research is accordingly presented.

The research shows that those networks with densely interconnected first-tier suppliers promote network centrality and complexity, leading to an inverted U-shape relationship between the focal firm's exertion of coercive power and the sustainability performance in the supply network. The findings allow a more comprehensive theoretical grounding for mapping governance approaches in a network-sensitive context and provide insights on how to avoid negative effects from power asymmetries.

The findings suggest the need for accompanying, indirect governance mechanisms already at the stage of first-tier suppliers based on non-mediated forms of power, such as referent power, also promoting disintermediation. Purchasing companies may also consider using digital platform technologies that foster disintermediation, such as blockchain technology.

By studying intermediaries from a power and network perspective, the conceptualization adds to the discussion on governance in multitier sustainable supply chain networks in various industries. Furthermore, it contributes to the increasing efforts of middle-range theorizing in logistics and supply chain management. The results partially challenge previous assumptions on the moderating role of specific network characteristics.

The purpose of the paper is to develop a conceptual framework for improving the effectiveness of risk management in supply networks following a critical literature review.

A critical review of 91 scholarly journal articles published between 2000 and 2018 supports the development of an integrated conceptual framework.

The findings emphasize that supply chain integration (SCI) can have both a positive and negative impact on the effectiveness of risk management in supply networks. It is possible to have a positive effect when SCI can be used to develop competencies in joint risk planning within the organization and with wider supply network members and, in turn, to develop collaborative risk management capabilities. Supply network characteristics can influence whether and the extent to which SCI has a positive or negative impact on risk management effectiveness.

The conceptual framework can be used to empirically assess the role of SCI for effective risk management. Dynamic evaluation of the effectiveness of risk management and potential redesign of the supply network by considering other contingent factors are some future research avenues.

There is a need for developing specific competencies in risk planning within organizations and joint risk planning with supply network members which, in turn, can help develop collaborative risk management capabilities to improve the effectiveness of risk management in supply networks. Network characteristics will influence whether and the extent to which SCI results in the effectiveness of risk management.

Moving beyond recent (systematic) reviews on supply chain risk management, this study develops a novel conceptual framework interlinking SCI and the effectiveness of risk management while considering network characteristics.

While a global supply network can provide stability to address localized interruptions, however, the recent global pandemic materialized many concerns and risks associated with the global supply network. Considering the short-term and long-term effects of changes in the global supply chain, this research explores how the location characteristics of the firms across the supply chain affect their performance.

Using the mined data from five tiers of the backward supply chain of medical equipment, the authors constructed a large supply chain network consisting of close to 160,000 dyadic connections. The authors used various network centrality and clustering algorithms to measure the influence of each firm across the supply chain structure. Furthermore, the authors ran a scenario to simulate the elimination of Chinese firms from the global supply chain and recalculated all centralities. Regression analysis was used to measure the effect of supply chain network centralities on firms' performance across the supply chain with and without Chinese firms.

The complexity of global purchasing across global tiers of supply networks had been recognized as a source of uncertainty before the COVID-19 pandemic. This pandemic was the black swan that the medical supply chain professionals had noted its threat in recent years. While a global supply network can provide stability to address localized interruptions, however, the recent global pandemic materialized many concerns and risks associated with the global supply network. Considering the short-term and long-term effects of changes in the global supply chain, this research explores how the location characteristics of the firms across the supply chain affect their performance.

This research has three main implications. First, it provides a benchmark for manufacturing firms and distributors around the world operating in the post-COVID-19 business environment to better understand the relationship of their supply chain strategy and firms' financial performance. Second, investors and asset managers can evaluate their portfolios in light of the changing relationship as a result of possible protectionism initiatives. Finally, policymakers can apply the research methodology of this work in various industries while reevaluating post-COVID-19 international relations and trades policies at the firm, industry and country levels.

Policymakers working on global connection can utilize the outcome of this research to explore the consequences of local and global policies on trade patterns, organizational performance as well as individuals' movements. Another implication of this study for policymakers is that it provides a powerful simulation and analytical tool to launch or combat the global ruptures, including trade wars and natural disasters stemming from natural events (e.g. climate change) and human-made events (e.g. wars, supply-chain interruptions, sanctions).

To the best of our knowledge, this is the first large-scale empirical study that measures the effect of supply chain structure across multiple (five) tiers of the global supply chain on firms' performance. The present study uses the original supply chain network data mined by the authors from financial publications.

This study aims to explore the impact of supply chain quality event (SCQE) announcements on enterprises’ stock market value.

This study adopts the event study approach and analyzes the changes in shareholder value of companies listed in China based on data from 118 SCQE announcements. In the event study, the market, market-adjusted and Carhart four-factor models are used to estimate abnormal stock market returns, and a cross-sectional regression model is performed to examine the effects of SCQE announcements on enterprises’ stock market value.

SCQE announcements have a negative impact on shareholder value. From the perspective of the supply chain network structure, the market reacts more negatively to SCQE announcements issued by the enterprises with higher supply chain concentration. From the perspective of companies’ characteristics, announcements that do not reflect the establishment of supply chain quality cooperation have a more negative effect on stock market value, which indicates that the supply chain network structure and firm-level characteristic can moderate the market reaction.

The findings demonstrate a quantitative evaluation of how SCQE announcements affect the stock market value of listed companies and provide guidance for managers to enhance the value of SCQE announcements.

This study fills the research gap on the impact of SCQE announcements on stock market value by using secondary data and first explores the relationship between SCQE announcements and stock market value from the perspective of supply chain network. Furthermore, this study contributes to the literature on SCQE using an empirical study in China.

As globalisation makes supply networks more complex, the risk of material disruptions increases. Many factors have been considered as affecting the reliability of supply networks. However, no empirical research has been carried out to assess and evaluate the impact of each of these factors on the reliability of supply networks. This paper aims to address this issue.

A gap in the literature was identified around the evaluation of the impact of supply network design characteristics on reliability. This gap is addressed by performing a full factorial experimental design considering all the factors described in the literature, and then analysing (by using analysis of variance and linear regression models), thousands of theoretical and extreme structures of supply networks, thus allowing the analysis of the influence of each factor on the overall network resilience.

Results show that network density, node criticality and complexity are significant factors in reducing the reliability of supply networks. In particular, node complexity (i.e. the total number of nodes in the network) was found to have the strongest negative effect on network reliability, while the strongest positive factor was sources criticality (i.e. the level of redundancy of suppliers).

The identification of these factors and their relative impacts on network reliability can serve as a guide for the design of more reliable networks, and to know which are the most important to consider when designed distribution networks.

The paper identifies, from the literature, key factors affecting supply network reliability and evaluates their relative impact. Given the number of factors identified, an extensive Monte Carlo simulation is used for the first time, by considering simple and very complex networks, to allow the testing of the role of each factor in supply network reliability.

Using social network theory (SNT), this study empirically examines the impact of digital supply chain announcements disclosing corporate social responsibility (CSR) information on stock market value.

Based on 172 digital supply chain announcements disclosing CSR information from Chinese A-share listed companies, this study uses event study method to test the hypotheses.

First, digital supply chain announcements disclosing CSR information generate positive and significant market reactions, which is timely. Second, strategic CSR and value-based CSR disclosed in digital supply chain announcements have a more positive impact on stock market, however there is no significant difference when the CSR orientation is either towards internal or external stakeholders. Third, in terms of digital supply chain network characteristics, announcements reflecting higher relationship embeddedness and higher digital breadth and depth lead to more positive increases of stock value.

First, the authors consider the value of CSR information in digital supply chain announcements, using an event study approach to fill the gap in the related area. This study is the first examination of the joint impact of digital supply chain and CSR on market reactions. Second, compared to the previous studies on the single dimension of digital supply chain technology application, the authors innovatively consider supply chain network relationship and network structure based on social network theory and integrate several factors that may affect the market reaction. This study improves the understanding of the mechanism between digital supply chain announcements disclosing CSR information and stock market, and informs future research.

This study aims to explore the impact of carbon neutral announcements on “stock market value” of publicly listed companies in China.

The event study approach is adopted. Market, market-adjusted, Carhart four-factor model and a cross-sectional regression model are employed to examine the impacts of carbon neutral announcements on “stock market value” of Chinese companies based on data from 188 carbon neutral announcements.

Carbon neutral announcements positively impact Chinese shareholder value. Carbon neutral announcements at the strategic level have a more positive and significant impact on Chinese stock market value. Innovative carbon neutral announcements do not significantly cause Chinese stock market reactions. Companies have more positive and significant stock market reactions when the companies make carbon neutral announcements that reflect high supply chain network resilience and heterogeneity and strong supply chain network relationships.

The findings uncover the business value of carbon neutral activities and provide operations managers in developing countries insights into how to improve enterprises' market value by actively implementing carbon neutral activities.

This paper is the first trial to apply an event study to examine the relationship between carbon neutral announcements and Chinese stock market value from the perspective of announcement level and type and supply chain networks. This paper introduces corporate reputation theory and enriches the application of corporate reputation theory in the field of low-carbon environmental protections and supply chains.

The competitiveness of mining regions largely depends on the performance of the regional supply chains that provide services to mining companies. These local supply chains are often highly intertwined and represent a regional supply network for the industry. Individual companies often use supply chain strategies that are sub-optimal to overall supply network performance. To effectively respond to an uncertain business environment, policy-makers and supply chain participants would benefit by a governance framework that would allow to incentivise the formation of supply networks structures enabling effective operations. The purpose of this paper is to offer an empirically grounded conceptual framework based on Complex Adaptive Systems (CASs) governance principles, which links network governance mechanisms with supply network structure and operational performance to incentivise the formation of adaptive and resilient supply networks in the mining industry.

A mixed method research design and a case study of the South Australian mining sector were used to collect empirical data. Qualitative interviews and network analysis of the SA mining industry regional supply network structure were conducted. The relationships between network parameters were interpreted using CAS theory.

An empirically grounded conceptual framework based on CAS governance principles is developed. The case study revealed that supply chain strategies and governance mechanisms in the SA mining industry have led to the formation of a hierarchical, scale-free structure with insufficient horizontal connectivity which limits the adaptability, responsiveness and resilience of the regional supply network.

The findings are drawn from a single case study. This limits generalisability of the findings and the proposed framework.

The proposed framework draws the attention of the policy-makers and supply chain participants towards the need for utilising CAS governance principles to facilitate the formation of adaptive, responsive and resilient regional supply networks in the mining industry.

The proposed conceptual framework is an attempt to parameterise the governance of the regional supply networks in the mining industry.

The purpose of this paper is to compare supply network strategies of district firms (from now on ID) and non‐district (non‐ID) firms with the aim of outlining emerging strategies as well as identifying similarities and differences between business models.

The analysis is based on a quantitative approach: the TeDIS survey focuses on 45 leading Italian districts and SMEs located outside districts (Made in Italy sectors). Results refer to 630 Italian firms.

There are more similarities than differences between the approach of ID and non‐ID companies to supply networks. ID firms rely more on local systems in terms of supply networks, while non‐ID firms have also invested at national level (subcontracting networks). The global geographical extension of supply networks stresses the ID companies' search for efficiency in addition to value‐added competences. Non‐ID firms have a more hierarchical approach to internationalization than ID firms, but differences decrease as the size of the companies increases.

The study is still preliminary. Future research should explore the relationships between the strategic approach to supply networks of district firms and non‐ID firms in terms of characteristics of the relationship management and aims of relationships, also with a focus on the size of these firms.

Within the existing literature, the original contribution of the paper lies in its comparison of supply network strategies in ID and non‐ID firms based on a significant quantitative analysis.