Network Structure and Business Survival: The Case of U.S. Automobile Component Suppliers
AbstractWe examine how three aspects of network structure affect supplier performance, focusing on relationship duration, supplier autonomy, and customer status. We examine their impact in different competitive contexts by considering differences in the modular and architectural technological characteristics of the components. Using data on all U.S. automotive carburetor and clutch manufacturers from 1918 to 1942, we find that suppliers of architectural goods (carburetors) benefit from long-term relationships, high status customers, and current autonomy. By contrast, only autonomy affects suppliers of modular goods (clutches). This comparison speaks to the contingent nature of the influence of network structure, with the benefits and constraints deriving largely from the nature of the inter-firm routines firms create to coordinate relationships. Relationships requiring extensive sets of inter-firm routines lead to greater benefits and constraints of network structure, while network structure has more restricted influence on relationships requiring less intensive inter-firm routines.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University of Illinois at Urbana-Champaign, College of Business in its series Working Papers with number 02-0105.
Date of creation: Feb 2002
Date of revision:
Contact details of provider:
Web page: http://www.business.uiuc.edu/Working_Papers/Main.asp
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Asanuma, Banri, 1989. "Manufacturer-supplier relationships in Japan and the concept of relation-specific skill," Journal of the Japanese and International Economies, Elsevier, vol. 3(1), pages 1-30, March.
- Masten, Scott E & Meehan, James W, Jr & Snyder, Edward A, 1991. "The Costs of Organization," Journal of Law, Economics and Organization, Oxford University Press, vol. 7(1), pages 1-25, Spring.
- Langlois, Richard N. & Robertson, Paul L., 1989. "Explaining Vertical Integration: Lessons from the American Automobile Industry," The Journal of Economic History, Cambridge University Press, vol. 49(02), pages 361-375, June.
- Williamson, Oliver E, 1993. "Calculativeness, Trust, and Economic Organization," Journal of Law and Economics, University of Chicago Press, vol. 36(1), pages 453-86, April.
- Eccles, Robert G., 1981. "The quasifirm in the construction industry," Journal of Economic Behavior & Organization, Elsevier, vol. 2(4), pages 335-357, December.
- Cusumano, Michael A., 1954- & Takeishi, Akira, 1958-., 1991. "Supplier relations and management : a survey of Japanese, Japanese-transplant, and U.S. auto plants," Working papers 3256-91., Massachusetts Institute of Technology (MIT), Sloan School of Management.
- Podolny, Joel M & Phillips, Damon J, 1996. "The Dynamics of Organizational Status," Industrial and Corporate Change, Oxford University Press, vol. 5(2), pages 453-71.
- Masten, Scott E, 1984. "The Organization of Production: Evidence from the Aerospace Industry," Journal of Law and Economics, University of Chicago Press, vol. 27(2), pages 403-17, October.
- Lazzarini, Sergio G. & Mesquita, Luiz F. & Claro, Danny P., 2007. "Buyer-Supplier and Supplier-Supplier Alliances: Do They Reinforce or Undermine One Another?," Insper Working Papers wpe_84, Insper Working Paper, Insper Instituto de Ensino e Pesquisa.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().
If references are entirely missing, you can add them using this form.