Does Coercive Pressure Matter on the Practices and Performance of the Public Procurement?

Gerald Zachary Paga Tinali ()
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Gerald Zachary Paga Tinali: University of Dar es Salaam Business School, University of Dar es Salaam

A chapter in State of the Art in Partial Least Squares Structural Equation Modeling (PLS-SEM), 2023, pp 515-535 from Springer

Abstract: Abstract Using a resource-based perspective and agency theory, with the support of previous studies, a hierarchical component model with two paths, direct and moderated, was formulated, wherein coercive pressure moderates the direct link between procurement practices and performance. A cross-sectional design was used, and a questionnaire was created and used to gather data from 207 key informants from Tanzania’s public procurement management units. Partial least squares structural equation modeling (PLS-SEM) with SmartPLS Version 3 was employed to validate the measurement model and test the hypotheses. Positive and significant effects on all the direct paths were observed; coercive pressure had a significant and most substantial direct impact on procurement performance compared to the direct link from procurement practices. The moderation effect of coercive pressure on the procurement practices and performance relationship was positive but insignificant. The chapter portrays how significant coercive pressure is toward the performance of public procurement. Moreover, this chapter provides a significant methodological addition to partial least squares studies, specifically those involving hierarchical component models.

Keywords: Agency theory; Coercive pressure; Procurement practices; Procurement performance; Higher-order constructs (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:spr:prbchp:978-3-031-34589-0_38

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DOI: 10.1007/978-3-031-34589-0_38

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