The impact of institutional pressures on supplier integration and financial performance: Evidence from China

Baofeng Huo, Zhaojun Han, Xiande Zhao, Honggeng Zhou, Craig H. Wood and Xin Zhai

International Journal of Production Economics, 2013, vol. 146, issue 1, 82-94

Abstract: With the rapid development of Chinese manufacturing industry and economy, there is an increasing emphasis on the Chinese institutional environment. In this study, we examine the impact of the three aspects of institutional pressures – normative, mimetic, and coercive – on the two dimensions of supplier integration – system and process – and their impact in turn on financial performance. We test the relationships with data collected from 617 manufacturers in China. Our results show that normative and mimetic pressures are positively related to both system and process integration; while coercive pressures are only positively related to process integration and not significantly related to system integration. The results also indicate that both system and process integration have a positive impact on financial performance. By developing and testing a theoretical model about institutional pressures, supplier integration, and financial performance in the context of the Chinese manufacturing industry, this study contributes to both the institutional and supply chain management literature, as well as providing a better understanding of Chinese manufacturing practices.

Keywords: Institutional pressure; Supplier integration; Financial performance; China (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (25)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0925527313000315
Full text for ScienceDirect subscribers only

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:eee:proeco:v:146:y:2013:i:1:p:82-94

DOI: 10.1016/j.ijpe.2013.01.013

Access Statistics for this article

International Journal of Production Economics is currently edited by Stefan Minner

More articles in International Journal of Production Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().