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| Tekijä: | Kim, S. M. Mahoney, J. T. |
| Otsikko: | Mutual commitment to support exchange: relation-specific IT system as a substitute for managerial hierarchy |
| Lehti: | Strategic Management Journal
2006 : MAY, VOL 27:5, p. 401-423 |
| Asiasana: | information technology integration hierarchical organizations commitment corporate governance competitive advantage |
| Kieli: | eng |
| Tiivistelmä: | This article explores the impact of information technology (IT) on the governance of vertically related firms. It argues that a very relation-specific IT system in inter-firm transactions plays an important role in the resulting inter-firm governance as a mutual sunk-cost commitment, with regard to leading to both less vertical integration and a smaller number of suppliers. Thus, this type of IT system can be an alternative governance mode of electronic integration acting as a substitute for managerial hierarchy and vertical financial ownership. The article gives explanations on IT systems' effects on the organizational boundary decision and its influence on the likelihood of the company achieving sustainable competitive advantage. |
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