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Understanding Supplier Resource Allocation : The impact of Dependency and Relationship length, Moderated and Mediated by Market and Partner uncertainty.

Qurbanzada, Jawad (2024) Understanding Supplier Resource Allocation : The impact of Dependency and Relationship length, Moderated and Mediated by Market and Partner uncertainty.

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Abstract:Supplier resource allocation in a buyer-supplier relationship entails strategically distributing resources to meet buyer needs. Supplier’s effective resource allocation is an important part of strategic operations and sustainability. This selective process depends on factors such as the level of dependency, customer attractiveness, power dynamics and the length of the relationship. This research examines how supplier resource allocation is influenced by different levels of dependency, and different lengths of the relationship. It also tests the moderating and mediating effects of market and partner uncertainty by using the Policy Capturing method and through conducting interviews. In the literature, supplier dependency and relationship length are generally positively related to supplier’s resource allocation, however, Resource Dependency Theory also suggests that suppliers need to diversify their critical resources. The results show positive effects for both dependence and relationship length on supplier resource allocation. However, we also found that market and partner uncertainty temper the effect of dependency and relationship length on supplier’s resource allocation. These findings are important theoretical contributions to the literature by measuring the moderating and mediating effects of market and partner uncertainty. This research highlights the nuanced interplay between established relationships and uncertainties, providing deeper insights into supplier resource allocation.
Item Type:Essay (Master)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:85 business administration, organizational science
Programme:Business Administration MSc (60644)
Link to this item:https://purl.utwente.nl/essays/102911
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