Make or buy in a mature industry? models of client - supplier relationships under TCT and RBV perspectives



Título del documento: Make or buy in a mature industry? models of client - supplier relationships under TCT and RBV perspectives
Revista: BAR - Brazilian Administration Review
Base de datos:
Número de sistema: 000552842
ISSN: 1807-7692
Autores: 1
2
Instituciones: 1Escola Superior de Tecnologia e Gestao, Leiria. Portugal
2Universidade do Sul de Santa Catarina, Florianopolis, Santa Catarina. Brasil
Año:
Periodo: Ene-Mar
Volumen: 7
Número: 1
Paginación: 22-39
País: Brasil
Idioma: Inglés
Tipo de documento: Artículo
Resumen en inglés In this paper, we use the transaction cost theory TCT and the resource-based view RBV to discuss three propositions on the models of client-supplier relationships in mature industries. The two theories seem to advance different organizational forms of the client-supplier relationships, and in some instances are contradictory. How should firms organize to prosper and grow, namely in the international markets? Through the case study of three Portuguese packaging firms, with primary (interviews) and secondary data, we discuss how the three firms deploy three distinct strategic organization models in a mature industry. One firm utilizes market-based governance mechanisms, and concentrates its production in a few selected locations. Another firm vertically integrates almost the entire value chain of the product to provide full service to its clients. The third firm operates in a model of integrated outsourcing, with the installation wall to wall with its clients. The client-supplier models adopted by these firms are based on efficient, stable, and trustworthy relationships that permit them to focus on their core competences and reduce transaction costs. The superior performance of firms requires a proper alignment of hierarchical and relational governance, taking the dimensions of their transactions into consideration.
Disciplinas: Administración y contaduría
Palabras clave: Administración de instituciones
Keyword: Client-supplier relationship models,
Outsourcing,
TCT,
RBV,
Strategic governance,
Management of institutions
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