Business-to-business electronic commerce from first- and second-tier automotive suppliers' perspectives: a preliminary analysis for hypotheses generation

Business-to-business electronic commerce from first- and second-tier automotive suppliers'... This paper empirically studies Electronic Data Interchange (EDI) adoption and implementation by US automobile suppliers by focusing on their incentive systems. Based on our survey data from 103 first-tier and second-tier suppliers and personal interviews, our study found that: (1) there was a gap of understanding about EDI benefits between firms that use EDI and those that don't; (2) the distinction between first-tier and second-tier suppliers was becoming ambiguous because of more competitive supplier selection practices; (3) EDI adoption among second-tier suppliers was low, primarily because of perceptions of low benefits and high costs and asymmetric benefits in favor of customers and also because of a lack of trading partners with EDI capability; (4) there were no essential differences between the US firms and Japanese transplants; and (5) proactive companies perceived EDI as having significant competitive advantages, while reactive companies considered EDI as only a necessity. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Technovation Elsevier

Business-to-business electronic commerce from first- and second-tier automotive suppliers' perspectives: a preliminary analysis for hypotheses generation

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Abstract

This paper empirically studies Electronic Data Interchange (EDI) adoption and implementation by US automobile suppliers by focusing on their incentive systems. Based on our survey data from 103 first-tier and second-tier suppliers and personal interviews, our study found that: (1) there was a gap of understanding about EDI benefits between firms that use EDI and those that don't; (2) the distinction between first-tier and second-tier suppliers was becoming ambiguous because of more competitive supplier selection practices; (3) EDI adoption among second-tier suppliers was low, primarily because of perceptions of low benefits and high costs and asymmetric benefits in favor of customers and also because of a lack of trading partners with EDI capability; (4) there were no essential differences between the US firms and Japanese transplants; and (5) proactive companies perceived EDI as having significant competitive advantages, while reactive companies considered EDI as only a necessity.

Journal

TechnovationElsevier

Published: Nov 1, 2001

References

  • Electronic Data Interchange: a multi-industry investigation using grounded theory
    Crook, C.; Kumar, R.
  • A critical perspective on information technology management: the case of Electronic Data Interchange
    Gottardi, G.; Bolisani, E.
  • Supply chain management: relationships, chains and networks
    Harland, C.
  • The impact of information systems technology on operations management
    LeBlanc, L.

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