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| Author: | Buvik, A. |
| Title: | Is vertical co-ordination an effective response to economic and technological ties in industrial purchasing relationships? |
| Journal: | Journal of Business-to-Business Marketing
2000 : VOL. 7:4, p. 69-89 |
| Index terms: | BUSINESS-TO-BUSINESS TRANSACTION COSTS |
| Freeterms: | VERTICAL CO-ORDINATION |
| Language: | eng |
| Abstract: | Vertical co-ordination of business-to-business relationships figures prominently as an effective response to inter-firm dependence. This research examines in particular possible impacts the buyer's manufacturing technology and deployment of specific assets on the governance efficacy of vertical co-ordination. Empirical findings from a survey of 171 industrial buying firms demonstrate that when asset specificity is substantial, increased vertical co-ordination reduces ex post transaction costs. |
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