Purpose
This study aims to examine what types of interfirm linkages a firm enters in relation to its manufacturing strategy. The authors further aim to determine whether heterogeneous resources have different moderating effects on the relationship between a firm’s manufacturing strategy and interfirm linkages.
Design/methodology/approach
The sample consists of survey and archival data on 80 publicly listed electronics firms from the semiconductor and optoelectronics industries in Taiwan. Because the dependent variable, interfirm linkage, is a binary term, the authors apply logistic regression in our study.
Findings
This paper provides empirical insight into how a firm’s manufacturing strategy affects its probability to engage in specific types of interfirm linkages. The authors find that when a firm pursues an efficiency (flexibility) strategy, it will tend to engage in marketing (technical) interfirm linkages. In addition, absorbed slack strengthens the fit between manufacturing strategy and interfirm linkage type more than unabsorbed slack does.
Research limitations/implications
Because the sample is drawn from the Taiwanese semiconductor and optoelectronic industries, the authors encourage scholars to examine the generalizability of the findings. Future studies can furthermore adopt in-depth interviews to facilitate a better understanding of decision-makers’ considerations when entering interfirm linkages.
Originality/value
This study extends resource dependence theory across a firm’s boundary and applies the resource-based view to resource heterogeneity. The findings advance the understanding of the relationships between strategic orientation, slack resources and interfirm linkage choices. The authors show that it is important that firms consider strategic fit when they create linkages outside their existing boundaries.
PurposeThe purpose of this study is to provide evidence on the impact of network flexibility and its ambidextrous influence on a firm's exploratory and exploitative partnership selection.Design/methodology/approachThe authors develop our hypotheses based on the literature of network flexibility and draw on a sample of publicly listed firms in Taiwan semiconductor and optoelectronics industries. The authors collect our data from survey questionnaires and archival sources and examine our hypotheses by using the generalized linear model (GLM) approach.FindingsThe authors’ empirical findings show that configuration flexibility has a greater influence on exploratory partnerships, while manufacturing flexibility has a greater impact on exploitative partnerships. In addition, when firms are ambidextrous (i.e. have both types of flexibility), they are able to simultaneously obtain both exploratory and exploitative partnerships. The authors’ findings indicate that balancing network flexibility is critical when firms execute ambidextrous alliance strategies.Research limitations/implicationsThe authors’ use of survey data to measure network flexibility may limit our observations related to network evolution. In addition, the authors’ use of public annual reports to capture firm partnerships may cause us to ignore informal relationships between partners.Practical implicationsThe authors’ empirical findings suggest that the types of partnerships firms develop depend on which types of flexibility they possess. The results further suggest that decision makers have to find a way to develop a balanced strategy between network configuration and manufacturing flexibility when they would like to develop an ambidextrous alliance strategy.Originality/valueThe authors’ study advances the understanding in the literature on supply chain flexibility and its ambidexterity by connecting network flexibility and ambidextrous alliance strategy. The authors offer a guide to supply chain managers in the area of network design.
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