Global Value Chains’ Disaggregation through Supply Chain Collaboration, Market Turbulence, and Performance Outcomes

Amit Arora, Anshu Arora, Julius Anyu and John R. McIntyre
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Amit Arora: School of Business and Public Administration, University of the District of Columbia, Washington, DC 20008, USA
Anshu Arora: School of Business and Public Administration, University of the District of Columbia, Washington, DC 20008, USA
Julius Anyu: School of Business and Public Administration, University of the District of Columbia, Washington, DC 20008, USA
John R. McIntyre: Scheller College of Business, Georgia Institute of Technology, Atlanta, GA 30308, USA

Sustainability, 2021, vol. 13, issue 8, 1-18

Abstract: This research examines supply chain collaboration effects on organizational performance in global value chain (GVC) infrastructure by focusing on GVC disaggregation, market turbulence, inequality, market globalization, product diversity, exploitation, and technological breakthroughs. The research strives to develop a better understanding of global value chains through relational view, behavioral, and contingency theories along with institutional and stakeholder theories of supply chains. Based on conflicting insights from these theories, this research investigates how relationships and operational outcomes of collaboration fare when market turbulence is present. Data is obtained and analyzed from focal firms that are engaged in doing business in emerging markets (e.g., India), and headquartered in the United States. We investigate relational outcomes (e.g., trust, credibility, mutual respect, and relationship commitment) among supply chain partners, and found that these relational outcomes result in better operational outcomes (e.g., profitability, market share increase, revenue generation, etc.). From managerial standpoint, supply chain managers should focus on relational outcomes that can strengthen operational outcomes in GVCs resulting in stronger organizational performance. The research offers valuable insights for theory and practice of global value chains by focusing on the GVC disaggregation through the measurement of market turbulence, playing a key role in the success of collaborative buyer–supplier relationships (with a focus on US companies doing business in India) leading to an overall improved firm performance.

Keywords: supply chain collaboration; organizational performance; market turbulence; global value chains; relational view; behavioral theory; contingency theory (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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