 Research on cost allocation for interorganisational systemsLibin Deng and Zhenyu Liu International Journal of Networking and Virtual Organisations, 2009, vol. 6, issue 4, 344-355 Abstract: Interorganisational Systems (IOSs) play an increasing role in information exchange and resource sharing across organisational boundaries. But designing and implementing IOSs needs an extraordinary amount of specific capital investment that should be fairly allocated among cooperative members. Although numerous researches have been conducted on IOSs from interdisciplinary areas, unfortunately few have been done on the cost analysis of IOSs. This paper shifts attention to cost allocation for IOS, which is a critical part of guaranteeing efficient cooperation. First, this paper analyses the content of cost for IOSs, and then, based on various considerations, proposes the Stackelberg game model to analyse the cost allocation mechanism between a core firm and its partners. Results show that when a member's return on IOSs increases, the cost proportion increases as well. In addition, when the risk of IOSs is up within a certain range, the proportion of cost for partners rises, while it decreases for the core firm. These results are consistent with the simulation. Keywords: inter-organisational systems; IOS; cost allocation; cooperation; Stackelberg game; core firms; information exchange; resource sharing; modelling; simulation. (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:ids:ijnvor:v:6:y:2009:i:4:p:344-355 Access Statistics for this article More articles in International Journal of Networking and Virtual Organisations from Inderscience Enterprises Ltd |
Is your work missing from RePEc? Here is how to contribute.
Questions or problems? Check the EconPapers FAQ or send mail to .
EconPapers is hosted by the
School of Business at Örebro University.