2007
DOI: 10.1111/j.1745-493x.2007.00023.x
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A Model of Relational Governance in Reverse Auctions

Abstract: SUMMARY Despite the popularity of electronic reverse auctions, limited empirical research on their use and key outcomes such as supplier cooperation, purchase price reductions and time savings has been conducted. The current research examines the role that the relative strategic importance of the existing buyer–supplier relationship plays in reverse auction usage, including the type of governance structure established and the three previously mentioned outcomes. Results indicated that existing buyer/supplier r… Show more

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Cited by 34 publications
(23 citation statements)
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“…Peleg et al (2002) and note that if the buyer is chiefly concerned with obtaining the lowest price in the open market, the supplier may believe that the buyer does not value the relationships that have been put in place. Therefore the buyer/supplier relationship conducted for the sole purpose of obtaining lower prices will be governed in an arm's-length manner (Pearcy et al, 2007), i.e., lack of specific assets for a cooperation-oriented exchange relationship. We hypothesize:…”
Section: The Conceptual Model and Hypothesesmentioning
confidence: 99%
“…Peleg et al (2002) and note that if the buyer is chiefly concerned with obtaining the lowest price in the open market, the supplier may believe that the buyer does not value the relationships that have been put in place. Therefore the buyer/supplier relationship conducted for the sole purpose of obtaining lower prices will be governed in an arm's-length manner (Pearcy et al, 2007), i.e., lack of specific assets for a cooperation-oriented exchange relationship. We hypothesize:…”
Section: The Conceptual Model and Hypothesesmentioning
confidence: 99%
“…The different delivery channels and HRM practices used across the organization require coordination and that knowledge be developed, shared, and applied in order to operate most efficiently ( Morris et al, 2009). Within the SCM literature, three predominant forms of inter-firm supply chain governance are at work, all of which aim to reduce opportunism and ultimately lead to compliance (Jiang, 2009): market governance, vertical governance, and a third type referred to diversely as relational governance (Gençtürk & Aulakh, 2007;Pearcy, Giunipero, & Wilson, 2007), peer-to-peer governance (Jiang, 2009), social governance (Li, Xie, Teo, & Peng, 2010), or hybrid governance (Dyer, 1996). Market governance is transactional in that it is based on external price mechanisms and is largely achieved through buyers coercing suppliers (Jiang, 2009).…”
Section: Supply Chain Governancementioning
confidence: 99%
“…There has also been exploration of the implications for E-Auctions (Tunca and Zenios, 2006;Pearcy et al, 2007), communication (Larson et al, 2005), the semiconductor industry (Bolton et al, 1994), supplier performance (Fink et al, 2007), just-in-time purchasing (Buvik and Halskau, 2001), outsourcing (Nesheim, 2001) and of the role played by trust (Jeffries and Reed, 2000;Claro et al, 2006).…”
Section: Relational Exchangementioning
confidence: 99%