Publication Type

Working Paper

Publication Date

11-2009

Abstract

What constitutes better sourcing performance? The question is gaining prominence from recent work in the resource based view of the firm where interest in functional performance is growing. The paper addresses this question by investigating several dimensions of sourcing practices. Two main performance priorities are captured by supply innovation and supply commoditization, and we develop several hypotheses involving these constructs. The paper reports on our survey research with Asian purchasing managers; scales that measure supply innovation and commoditization; and the estimates of a path analytic model to test our hypotheses and provide relative effect sizes. The results contribute to a growing literature on sourcing performance scales. The paper also discusses several managerial implications arising from the model for sales strategies and targeting approaches.

Keywords

Sourcing, Purchasing, Innovation, Commoditization, Path Analysis

Discipline

Marketing | Strategic Management Policy

Research Areas

Strategy and Organisation

Comments

The author gratefully acknowledges partial support for this research from the NOL Fellowship under grant C216/MX09B001 and from Office of Research at SMU under grant 08-C207-SMU-012

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