Purpose – This paper aims to provide empirical evidence of the effectiveness of various supply chain integration (SCI) practices under different competitive strategies in terms of cost leadership and differentiation. Design/methodology/approach – Survey methodology was used to collect data from 604 Chinese manufacturers. Hierarchical linear regression was used to analyze the moderating effects. Findings – The results showed that competitive strategies significantly influenced the effectiveness of SCI practices, including internal, process and product integration. More specifically, internal integration significantly affected the financial performance of cost leaders, while process integration contributed more to the financial performance of differentiators. However, competitive strategies had no significant moderating effect on the relationship between SCI and operational performance. Research limitations/implications – This study contributes to the literature by exploring the effectiveness of various SCI practices in relation to firm performance under different competitive strategies. The results should be treated with caution, as they may be more meaningful in China. Practical implications – The findings clarify the alignment of SCI with competitive strategies for practitioners, so that they can allocate their limited resources to build various SCI capabilities based on their strategic choices. Originality/value – The results enhance the body of knowledge on SCI from the perspective of contextual factors to explore its effectiveness at a more detailed level. This study extends the literature on the match between competitive strategies and SCI in improving financial performance.

No abstract

This article investigates the relationships among competitive strategy, supply chain strategy, and business performance while examining the moderating effect of environmental uncertainty. A total of 604 questionnaires were collected from three cities in China, and the statistical results show significant moderating effects of external environment on the relationships among competitive strategy, supply chain strategy, and business performance. Firms that primarily focus on a differentiation strategy emphasize an agile supply chain strategy. Cost leaders are inclined to implement both lean and agile supply chain strategies, but their emphasis on agile strategy is significantly greater in a volatile environment than in a stable environment. The choice of supply chain strategy does not appear to be an "either-or" decision and firms could adopt either a lean or an agile strategy, or both, depending on the environment. This article provides significant managerial implications for supply chain practitioners to co-align supply chain strategy and competitive strategy with the environment to improve performance.

Supply chain management has become one of the most popular approaches to enhance the global competitiveness of business corporations today. Firms must have clear strategic thinking in order to effectively organize such complicated activities, resources, communications, and processes. An emerging body of literature offers a framework that identifies three kinds of supply chain strategies: lean strategy, agile strategy, and lean/agile strategy based on in-depth case studies. Extant research also suggests that supply chain strategies must be matched with product characteristics in order for firms to achieve better performance. This article investigates supply chain strategies and empirically tests the supply chain strategy model that posits lean, agile, and lean/agile approaches using data collected from 604 manufacturing firms in China. Cluster analyses of the data indicate that Chinese firms are adopting a variation of lean, agile, and lean/agile supply chain strategies identified in the western literature. However, the data reveal that some firms have a traditional strategy that does not emphasize either lean or agile principles. These firms perform worse than firms that have a strategy focused on lean, agile, or lean/agile supply chain. The strategies are examined with respect to product characteristics and financial and operational performance. The article makes significant contributions to the supply chain management literature by examining the supply chain strategies used by Chinese firms. In addition, this work empirically tests the applicability of supply chain strategy models that have not been rigorously tested empirically or in the fast-growing Chinese economy.

A taxonomy not only provides a parsimonious description of strategic groups that is useful in discussion and research, but also aids theory building. However, taxonomic studies in the operations strategy literature are scarce. Major studies that use North American or European data to develop taxonomies of manufacturing strategies contend that the applicability of their identified taxonomies to other countries remains unclear. Furthermore, the construction of theory is not complete without regular verification and replication to account for competitive paradigm shifts and new environmental imperatives. In our study, we replicated the wellacknowledged taxonomy of manufacturing strategies of [Miller, J.G., Roth, A.V., 1994. A taxonomy of manufacturing strategies, Management Science 40 (3), 285-304] using data from one of the world's fastest growing economies-China. A taxonomy of manufacturing strategies is identified and is found to be different from the strategic clusters of Caretakers, Marketeers and Innovators in Miller and Roth. The underlying dimensions that defined our clusters are also different from those in Miller and Roth. Our study also derived an interesting insight that a taxonomy that is based on realized strength rather than emphasis on competitive capabilities can better explain a company's financial performance. #