Different roles of control mechanisms in buyer-supplier conflict: An empirical study from China

The varying roles of governance mechanisms on ex-post transaction costs and relationship commitment in buyer-supplier relationships

“…The main question, therefore, is how to design an effective governance structure where both parties are fully devoted to fulfilling their common business objectives (Luo et al, 2015). For this reason, several recent studies have highlighted the significance of multiple governance mechanisms (e.g., Bai et al, 2016;Liu et al, 2009;Yang et al, 2017). These mechanisms are mainly found embedded in both economic and sociological mechanisms (Liu et al, 2017a(Liu et al, , 2017b).…”

“…It refers to the bilateral expectation of formal and/or informal sharing of meaningful and timely information exchange between relationship partners (Wang et al, 2016). Building on SET, we conceptualize that communication strengthens the confidence of both parties in a relationship in terms of the availability of particular information (Yang et al, 2017) that is timely, and offered frequently, formally and informally (Hung & Lin, 2013).…”

“…Governance, therefore, becomes pivotal in buyer-supplier relationship development (Liu et al, 2017a;Luo et al, 2015). Prior inter-firm governance literature suggests that, in order to achieve joint objectives, firms need to erect appropriate governance factors, namely; economic and sociological mechanisms (e.g., Bai et al, 2016;Yang et al, 2017;Liu et al, 2009), rooted in transaction cost economics (TCE) and social exchange theory (SET). Economic mechanisms, in line with TCE, include certain governance factors, firms emplaced to avoid transactional uncertainties through adequate structural implications.…”

“…Although prior empirical research has extensively documented the effective roles of governance mechanisms, it remains in limited context of opportunism mitigation (e.g., Liu et al, 2009;Luo et al, 2015), relationship performance (e.g., Yang et al, 2016;Liu et al, 2017a) and conflict management (e.g., Yang et al, 2017;Lee et al, 2017;Lumineau & Henderson, 2012). A growing number of empirical studies demonstrate that economic structure of relationship exchange is sociologically embedded (e.g., Granovetter, 2005;Dyer & Chu, 2011).…”

An Analytical Study of Critical Factors Affecting Contractor Efficiency in Construction Projects in Indian Scenario

“…Lowest bid award methodology is one of the most popular bidding techniques used for project award. Increased application of lowest bidder technique has promoted inadequacy and unseemliness amongst the submitted bids and resulted in the repetitive occurrence of disputes, cost overruns and time extension (Leśniak, 2015;Setiawan et al, 2015;Suprapto et al, 2015a;Chang, 2017;Yang et al, 2017). As a result, if the Indian government and its subsidiaries as well as privately managed construction organizations have learned a lesson, have adapted to recent advances and invite worthy bidders, yet it is still important to research prequalification criteria and the target of the prequalification and bid assessment forms (Hatush and Skitmore, 1997).…”