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Does national culture matter? Understanding the impact of supply chain integration in multiple countries

Does national culture matter? Understanding the impact of supply chain integration in multiple... With increasing globalization, supply chain management in various national cultures requires understanding. This study aims to examine the moderating effects of individualistic and uncertainty avoidance cultures on the relationship between supply chain integration (SCI) and different dimensions of firm performance (i.e. flexibility and financial).Design/methodology/approachThis study collected 124 pairwise survey data from supply chain and senior managers of retail firms in 35 countries. Hofstede’s national culture index was used to examine the moderating effects. Structural equation modeling and regression analysis were used to test the model.FindingsResults corroborate that in a higher uncertainty avoidance culture, the positive influence of SCI on flexibility performance is stronger, but that on financial performance is weaker. By contrast, individualism reduces the positive influence of SCI on financial performance, but does not moderate that on flexibility performance.Originality/valueThis paper proposes a contingent model for SCI-performance relationships by integrating the relational view and the national cultural perspective. Critical national cultural dimensions moderate the effects of SCI on flexibility and financial performance. Therefore, operational managers should design differential SCI strategies in various cultural settings. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Supply Chain Management An International Journal Emerald Publishing

Does national culture matter? Understanding the impact of supply chain integration in multiple countries

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References (83)

Publisher
Emerald Publishing
Copyright
© Emerald Publishing Limited
ISSN
1359-8546
DOI
10.1108/scm-03-2020-0099
Publisher site
See Article on Publisher Site

Abstract

With increasing globalization, supply chain management in various national cultures requires understanding. This study aims to examine the moderating effects of individualistic and uncertainty avoidance cultures on the relationship between supply chain integration (SCI) and different dimensions of firm performance (i.e. flexibility and financial).Design/methodology/approachThis study collected 124 pairwise survey data from supply chain and senior managers of retail firms in 35 countries. Hofstede’s national culture index was used to examine the moderating effects. Structural equation modeling and regression analysis were used to test the model.FindingsResults corroborate that in a higher uncertainty avoidance culture, the positive influence of SCI on flexibility performance is stronger, but that on financial performance is weaker. By contrast, individualism reduces the positive influence of SCI on financial performance, but does not moderate that on flexibility performance.Originality/valueThis paper proposes a contingent model for SCI-performance relationships by integrating the relational view and the national cultural perspective. Critical national cultural dimensions moderate the effects of SCI on flexibility and financial performance. Therefore, operational managers should design differential SCI strategies in various cultural settings.

Journal

Supply Chain Management An International Journal – Emerald Publishing

Published: Jul 13, 2021

Keywords: National cultures; Supply-chain management; Financial performance; Operational performance

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