How Buyers' Attitudes Toward Supplier Diversity Affect Their Expenditures with Ethnic Minority Businesses

Ian Blount and Mingxiang Li

Journal of Supply Chain Management, 2021, vol. 57, issue 3, 3-24

Abstract: Using data collected from 277 buyers employed at large purchasing organizations (LPOs) in the U.S. and U.K., this study investigates factors that might influence their willingness to procure goods and services from ethnic minority businesses (EMBs). The social capital literature is used to develop hypotheses concerning the cognitive, structural, and relational dimensions that may play roles in decisions to buy from minority firms. Subsequently, modern discrimination theory is employed to provide inductive insights into how buyers' attitudes toward supplier diversity mediate the effects of social capital on their procurement activities with EMBs. The results of multiple regression analysis suggest that in both the U.S. and U.K., positive social capital as perceived by the buyers has a direct, significant relationship with their expenditures with EMBs. The results also reveal that in both countries, buyers' attitudes toward supplier diversity mediate the relationship. Interestingly, although the U.S. originated the concept of supplier diversity, our research uncovers that U.K. LPO buyers have greater expenditures with their EMBs. Based on these findings, this research illustrates how strategic corporate social responsibility initiatives set forth by LPOs may be impacted by their buyers' social relationships with EMBs and their attitudes toward supplier diversity.

Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://doi.org/10.1111/jscm.12237

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:jscmgt:v:57:y:2021:i:3:p:3-24

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=1523-2409

Access Statistics for this article

Journal of Supply Chain Management is currently edited by Lisa Ellram, Craig Carter and Chad Autry

More articles in Journal of Supply Chain Management from Institute for Supply Management
Bibliographic data for series maintained by Wiley Content Delivery ().