scholarly journals Social capital, power and information sharing – evidence from the Dutch meat processing industry

2020 ◽  
Vol 122 (11) ◽  
pp. 3343-3360
Author(s):  
Cees J. Gelderman ◽  
Janjaap Semeijn ◽  
Ferdi Ter Avest ◽  
Ellen Peeters

PurposeBuying companies in the food industry increasingly recognize the need to cultivate relationships with their suppliers. Social capital and power are important to understand buyer–supplier relationships. Maintaining these relationships appears highly dependent on the degree of information sharing.Design/methodology/approachThe study investigates how power and social capital dimensions are related to information sharing. A survey of first-tier suppliers in the Dutch meat processing industry was carried out. The data from 82 suppliers was analyzed using partial least squares.FindingsIt appears that expert power contributes to the cognitive and structural social capital. In contrast, coercive power showed no influence at all. Cognitive and structural social capital dimensions have a direct link to relational social capital, which significantly improves buyer–supplier information sharing in the food industry.Practical implicationsBuying companies can encourage supplier information sharing by building up their own expertise and cultivating social relationships. They should refrain from strong-handed practices.Originality/valueCompanies in the food and food processing industry are dependent on effective information exchange for their very survival. This study investigates the role of power and social capital in making such exchange possible and sustainable.

2018 ◽  
Vol 33 (3) ◽  
pp. 325-336 ◽  
Author(s):  
Chang-Hun Lee ◽  
Byoung-Chun Ha

Purpose The purpose of this paper is to understand how the development of social capital can promote buyer’s bi-directional (inflow and outflow) information sharing. The authors examined buyers’ perceptional differences in information sharing: when they receive information from suppliers and when they provide information to suppliers, and how such inequivalent perception in information sharing can be resolved by the level of social capital and its’ sub-dimensions. Design/methodology/approach Theoretical model and the hypotheses were developed through literature review. Data were collected from Korean manufacturers in supply chains and structural equation modelling was used for analysis. Findings The results show that each dimension of social capital has a different effect on bi-directional information sharing. For the information inflow, all of the facets of social capital were significant; for the information outflow, however, only relational capital was significant. That is, with cognitive and structural capital, buyers perceive that they can receive appropriate information from suppliers yet be reluctant to provide information to suppliers. Practical implications Given that relational capital is essential for the balanced information sharing in buyer-supplier relationship, firms should pay attention to having social interactions with partners to promote trust in the relationship for efficacy in information sharing. Originality/value This is one of the first studies to explore the role of social capital in facilitating equivalent information sharing. This study develops a framework that social capital can provide valuable guidance in achieving equivalency of bi-directional information sharing.


2018 ◽  
Vol 23 (4) ◽  
pp. 351-376 ◽  
Author(s):  
Yiyi Fan ◽  
Mark Stevenson

Purpose This paper aims to investigate how supply chain risks can be identified in both collaborative and adversarial buyer–supplier relationships (BSRs). Design/methodology/approach This research includes a multiple-case study involving ten Chinese manufacturers with two informants per organisation. Data have been interpreted from a multi-level social capital perspective (i.e. from both an individual and organisational level), supplemented by signalling theory. Findings Buyers use different risk identification strategies or apply the same strategy in different ways according to the BSR type. The impact of organisational social capital on risk identification is contingent upon the degree to which individual social capital is deployed in a way that benefits an individual’s own agenda versus that of the organisation. Signalling theory generally complements social capital theory and helps further understand how buyers can identify risks, especially in adversarial BSRs, e.g. by using indirect signals from suppliers or other supply chain actors to “read between the lines” and anticipate risks. Research limitations/implications Data collection is focussed on China and is from the buyer side only. Future research could explore other contexts and include the supplier perspective. Practical implications The types of relationships that are developed by buyers with their supply chain partners at an organisational and an individual level have implications for risk exposure and how risks can be identified. The multi-level analysis highlights how strategies such as employee rotation and retention can be deployed to support risk identification. Originality/value Much of the extant literature on supply chain risk management is focussed on risk mitigation, whereas risk identification is under-represented. A unique case-based insight is provided into risk identification in different types of BSRs by using a multi-level social capital approach complemented by signalling theory.


2018 ◽  
Vol 30 (2) ◽  
pp. 417-437 ◽  
Author(s):  
Badri Munir Sukoco ◽  
Hardi Hardi ◽  
Alfiyatul Qomariyah

Purpose The relationship between buyers and suppliers over the years – social practices – facilitate the development of social capital (SC), and it contributes to the relationship performance (RP) for both parties. The purpose of this paper is to examine the mechanisms that transform SC into RP. By exercising the relationship learning (joint sense-making, information sharing, and knowledge integration), this paper proposes that SC will transform into RP. Design/methodology/approach Quantitative study was employed in this study. Questionnaires were distributed to first-tier supplier of Astra Group (Astra International) in Indonesia. In total, 211 questionnaires were used for data analysis in this study. Findings The results exhibit that cognitive and structural SC contribute to the development of relational SC. Further, relational SC was positively associated with joint sense-making, which then goes through information sharing, knowledge integration, and finally RP. Research limitations/implications The cross-sectional data in a specific context (a firm) in Indonesia serve as a major limitation of this study. The development of SC and learning as a social process might not be captured well by using the current method – surveys. Furthermore, a major problem is caused by a one-sided survey that depends on the suppliers’ perceptions and judgments of relationship learning and performance. Practical implications The results suggest that managers and other relationship actors would benefit from the competency to develop practices and activities with suppliers regarding developing trust. The trust development is facilitated by having common understanding and interactions regularly, either by participating in formal and/or informal activities with suppliers. Building consensus – joint sense-making, between buyers and suppliers are crucial practices in relationship learning before knowledge sharing and knowledge integration practices are in place. And finally, managers should actively integrate this knowledge in order to increase their RP. Originality/value This study empirically tests the supply chain practice view as a new theoretical perspective in the supply chain management literature. It also extends the utilization of social practices – SC – since it is crucial in a buyer-supplier relationship. It also presents that relationship learning is a mechanism that could transform SC into RP, and thus bridge the SC and collaborative learning theory. Finally, this study indicates that inside relational learning, there are sequences of joint sense-making-information sharing-knowledge integration, before it moves on to RP.


2019 ◽  
Vol 33 (2) ◽  
pp. 456-476 ◽  
Author(s):  
Saleh Bazi ◽  
Alireza Hajli ◽  
Nick Hajli ◽  
Mohana Shanmugam ◽  
Xiaolin Lin

Purpose Under the sunlight of social commerce, few concepts have blossomed like value co-creation. But when blurred strategies are implemented, the opportunity to wilt a brand is high. To avoid the miscues and the controversies, an ascendant step is to engage consumers with social commerce sites. The purpose of this paper is to propose three antecedents to engage consumers with social commerce sites, namely, social support, social commerce value and social commerce information sharing, and the effect of brand engagement on the intention of brand co-creation. Design/methodology/approach This study used survey data from 234 Iranians with experience using social commerce sites. Variance-based structural equation modeling using the partial least squares path modeling approach was adopted to analyze the structural model. Findings The authors found that social support, social commerce value and social commerce information sharing positively foster brand engagement. The study also revealed that brand engagement is a significant predictor of brand co-creation intention. Originality/value The study is the first study that considers and explains brand engagement from social support theory, social commerce value theory and social commerce information exchange. Also, the study shows how consumers can be an integral part of a brand. Unlike other studies which were done in industrialized countries, this study was employed in Iran.


2014 ◽  
Vol 6 (4) ◽  
pp. 644-653 ◽  
Author(s):  
Jiawu Dai ◽  
Xiuqing Wang

Purpose – Complaints about lower agricultural farm-gate price and higher consumer price have emerged in China in recent years. The large gap between dairy farm-gate price and consumer price gives rise to worries that China's dairy industry is characterized by strong degree of oligopoly. The purpose of this paper is to take the dairy processing industry as an epitome of China's food industry, and use a new approach to investigate whether it is oligopolistic and/or oligopsonistic. Design/methodology/approach – Based on a new proposed Primal-Dual Solow Residual model, the authors first test the hypothesis that there are significant oligopoly and oligopsony powers in China's dairy sector, and the latter is stronger. The authors then turn to measure these two kinds of market power using regressions of the model. Findings – The estimation results show that firms in the sector have both strong oligopoly and oligopsony power, but the latter is stronger than the former. Meanwhile, with the continuous reinforcement of competition in China's dairy sector, market power in both the upstream and downstream has decreased slightly. Originality/value – This paper is the first to simultaneously test oligopoly and oligopsony power in China's dairy sector. The empirical results explicitly imply that more attention should be paid to the raw milk purchase market.


2014 ◽  
Vol 34 (11) ◽  
pp. 1440-1462 ◽  
Author(s):  
Yina Li ◽  
Fei Ye ◽  
Chwen Sheu

Purpose – The purpose of this paper is to examine the effects of social resources on promoting information sharing practice and, thereby, improving firm performance. In particular, the authors are interested in addressing the following research questions. First, can the development of social capital (expressed in three dimensions: cognitive capital, structural capital, and relational capital) promote the content and quality of supply chain information sharing? Second, what are the relationships among the three social capital dimensions in the context of information sharing? Third, what are the effects of shared information (content and quality) on firm performance? Design/methodology/approach – A theoretical model and several research hypotheses, well-grounded in the western literature, are developed. Data from 272 manufacturers in China were collected to test the model and the hypotheses. Structural equation modeling was used for statistical analysis. Findings – The statistical results reveal that each social capital dimension has different effects on information sharing and performance. Namely, relational capital and cognitive capital have significant positive influences on information sharing. Structural capital has no direct positive impact on information sharing, but it displays indirect affects through the other two social capital dimensions. Furthermore, both the content and quality of the shared information improve manufacturing efficiency and responsiveness performance. Finally, the paper also recognizes possible reciprocal causality between relational capital and cognitive capital. Research limitations/implications – First, considering the distinct role of social relations in China, future studies should examine the influence of social capital and the potential reciprocal relationship between trust and shared vision, using data from other countries. Second, data were collected solely from the Pearl River Delta, China. Studies based on samples drawn from other regions, such as the Yangtze River Delta, the Bohai Sea economic area, and southwest China, would provide a degree of geographic and economic diversity and extend the generalizability of the results. Practical implications – Despite the touting of the value of information sharing, many companies struggle with the practice. The findings help us understand the process by which social capital accumulates and contributes to information sharing. Namely, firms must first engage in social interactions with supply chain partners in order to develop a trusting relationship and a shared vision for information sharing. The managers must also be aware of the possible reciprocal relationship between trust and shared vision. Both the volume and content of information sharing are critical to the performance. Social implications – Manufacturers can use the concept of social capital to build relational rents for information sharing. Originality/value – Responding to the call from the literature, this study extends the discussion of antecedents and consequences of supply chain information sharing, with a focus on the influences of relational resources. The paper proves that social capital provides a valid theoretical base from which to examine the role of social relations in promoting supply chain information sharing. Previous supply chain research in social capital often limited its consideration of social capital to relational capital. Understanding the effects of all three dimensions of social capital and their inter-relationships would contribute to the process by which social capital accumulates and promotes information sharing. Additionally, a study with the Chinese data should validate the theoretical model developed based on western literature, and offer valuable insights to researchers and practitioners from both economic and cultural perspectives.


2014 ◽  
Vol 18 (4) ◽  
pp. 728-757 ◽  
Author(s):  
Raffaele Filieri ◽  
Salma Alguezaui

Purpose – This paper aims to address the gap that, to date, no systematic review has been carried out on the role that structural social capital (SC) plays for knowledge transfer and innovation at the interpersonal, inter-unit and inter-firm levels. Individuals and organisations are becoming increasingly involved in collaboration networks to share knowledge and generate innovation. SC theory has been adopted in several areas of study to explain how individuals, groups and organisations manage relationships to generate innovation. Design/methodology/approach – This review covers studies of SC in organisational behaviour, strategy and management over a period of 20 years. Findings – The literature review shows that knowledge types and knowledge transfer processes are the missing links in the relationship between structural SC and innovation. Moreover, the paper demonstrates that seemingly opposite configurations of SC are complementary to each other (structural holes vs dense networks; strong vs weak ties) and that contextual factors should be considered when discussing the effects of SC on knowledge transfer and innovation. In addition, it is the balance of different configurations of SC which enables an individual or a company to explore, access, assimilate and combine different knowledge types, which will lead to improved innovation outcomes. Originality/value – This review facilitates understanding of the role of SC for knowledge transfer processes and the mediating role of knowledge transfer processes and knowledge types in the relationship between structural SC and innovation.


Author(s):  
Joakim Kembro ◽  
Dag Näslund

Purpose – The purpose of this paper is to investigate what empirical evidence exists regarding benefits of information sharing in supply chains, and to identify potential gaps and opportunities in this research area. Design/methodology/approach – The authors conducted an in-depth, systematic literature review and multilevel analysis of 82 selected articles. In the analysis, the authors investigated: whether the articles applied the supply chain as the unit of analysis; the selected research method; whether the articles applied the supply chain as the unit of data collection (i.e. collected data from three or more different companies); and finally, aspects of information sharing – including benefits. Findings – Despite anecdotal descriptions of benefits from information sharing in supply chains, the authors could not find empirical evidence to support these claims. Rather, the main body of literature reports on a focal company's perspective on traditional buyer-supplier relationships. Research limitations/implications – Given the lack of evidence for the claimed benefits of information sharing on a supply chain level, more research is needed in this field. The authors therefore propose an agenda for future research building on four key points. Originality/value – Contrary to popular belief, empirical evidence for benefits of information sharing in supply chains does not seem to exist. This article highlights an issue previously not addressed with a systematic in-depth review and analysis of empirical articles.


2017 ◽  
Vol 29 (5) ◽  
pp. 1036-1054 ◽  
Author(s):  
Lakhi Muhammad ◽  
Batiah Mahadi ◽  
Nazimah Hussin

Purpose The purpose of this paper is to investigate the effects of structural social capital, relational social capital and cognitive social on relationship satisfaction, and also to investigate how relationship satisfaction is associated with negative word-of-mouth and re-patronage intentions, in service recovery. Design/methodology/approach A sample of 478 Pakistani banking industry clients, who registered a complaint to their bank recently, answered the survey. Variance-based partial least squares structural equation modeling was employed for data analysis. Findings Results demonstrate that all three facets of social capital have a significant positive impact on relationship satisfaction. However, relationship satisfaction enhances customer re-patronage intentions and restrains negative word-of-mouth intentions. Practical implications Findings are important for service firms, particularly for banks to adjust their service recovery strategies. Originality/value The paper verified the influence of structural social capital, cognitive social capital and relational social capital on relationship satisfaction and tested the influence of relationship satisfaction on negative word-of-mouth and re-patronage intentions.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Zsófia Tóth ◽  
Peter Naudé ◽  
Stephan C. Henneberg ◽  
Carlos Adrian Diaz Ruiz

Purpose This paper aims to conceptualize corporate reference management as a strategic signaling activity in business networks. While research has extensively outlined how firms develop and maintain social capital through business-to-business (B2B) relationships, less is known about how they signal their participation in business networks to develop this social capital. Therefore, this paper conceptualizes B2B references, in particular corporate online references (COR), as a tool through which firms “borrow” attractiveness from their business network. Through the lens of structural social capital theory, COR is shown to capture advantages related to interconnectedness between firms. Design/methodology/approach The paper reports on a two-step qualitative and quantitative research design. First, the authors undertook a qualitative study that reports on the COR practices of senior business managers. A quantitative study then uses social network analysis (SNA) to audit a digital business network comprising 1,098 firms in a metropolitan area of the UK, referencing to each other through their corporate websites using COR. Findings The analyses find that COR practices contribute to building structural social capital in networks through strategic signaling. Firms do so by managing B2B references to craft strategic signals, using five steps: requesting, granting, curating, coding and decoding references. While the existing literature on business marketing portrays reference management as a routine and operational management practice, this investigation conceptualizes reference management, in particular COR, as a strategic activity. Originality/value To the best of the authors’ knowledge, this is the first study to use SNA to represent B2B references in the form of COR as a network, which overlaps with (but is not entirely identical to) the business network. Further, the study re-conceptualizes reference management as a strategic signaling activity that leverages the firm’s participation in business networks to build structural social capital by borrowing attractiveness of prestigious business partners that leverages existing structural social capital. Finally, the paper coins and conceptualizes COR as an exemplar of referencing management and offers propositions for further research.


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