TY - JOUR
T1 - A theory of supplier network-based innovation value
AU - Yan, Tingting
AU - Yang, Sophie
AU - Dooley, Kevin
PY - 2016/3/7
Y1 - 2016/3/7
N2 - To understand how a supplier helps a buying company create value through innovations, studies have focused on a supplier's internal resources or its relationship with a buying company. Building upon this body of literature, we develop a theory of supplier network-based innovation value in this conceptual paper. This theory explains how a supplier's upstream and downstream value network can be a source of competitive advantage for a buying company. Specifically, it proposes that the levels and types of supplier innovation value is contingent on the configuration of a dual-ego value network, characterized by the locus and degree of buyer-supplier structural equivalence. This theory also explains how a supplier's ties with a buying firm's competitors can pose both opportunity and risk to buying company innovation. This theory contributes to the literature by showing when "seemingly undesirable" suppliers, due to a lack of technical capability or strong relationship with a buying company, might still be valuable to a buying company's innovation.
AB - To understand how a supplier helps a buying company create value through innovations, studies have focused on a supplier's internal resources or its relationship with a buying company. Building upon this body of literature, we develop a theory of supplier network-based innovation value in this conceptual paper. This theory explains how a supplier's upstream and downstream value network can be a source of competitive advantage for a buying company. Specifically, it proposes that the levels and types of supplier innovation value is contingent on the configuration of a dual-ego value network, characterized by the locus and degree of buyer-supplier structural equivalence. This theory also explains how a supplier's ties with a buying firm's competitors can pose both opportunity and risk to buying company innovation. This theory contributes to the literature by showing when "seemingly undesirable" suppliers, due to a lack of technical capability or strong relationship with a buying company, might still be valuable to a buying company's innovation.
KW - Buying company innovation
KW - Customer network
KW - Structural equivalence
KW - Supplier innovation value
KW - Supplier involvement
KW - Supply network
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U2 - 10.1016/j.pursup.2017.02.002
DO - 10.1016/j.pursup.2017.02.002
M3 - Article
AN - SCOPUS:85013866063
SN - 1478-4092
JO - Journal of Purchasing and Supply Management
JF - Journal of Purchasing and Supply Management
ER -