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Extranet Use and Building Relationship Capital in Interfirm Distribution Networks: The Role of Extranet Capability

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  • Spralls, Samuel A.
  • Hunt, Shelby D.
  • Wilcox, James B.

Abstract

Firms are turning toward e-business technologies to increase efficiency and effectiveness and, thereby, acquire competitive advantage. We focus on interfirm distribution networks (IDNs) connected by extranets. Our thesis is that IDNs behave like alliances. As such, the network leader in the IDN may have an organizational capability related to developing and managing IDNs. This extranet capability is posited to positively influence three relationship capital resources (trust, information exchange, and communication quality), which, in turn, influence positively five network performance outputs (responsiveness, financial performance, efficiency, effectiveness, and innovativeness). Based on data from 175 new car sales managers, empirical tests of the hypotheses provide support for the posited explanation of IDN performance.

Suggested Citation

  • Spralls, Samuel A. & Hunt, Shelby D. & Wilcox, James B., 2011. "Extranet Use and Building Relationship Capital in Interfirm Distribution Networks: The Role of Extranet Capability," Journal of Retailing, Elsevier, vol. 87(1), pages 59-74.
    • Handle: RePEc:eee:jouret:v:87:y:2011:i:1:p:59-74
    DOI: 10.1016/j.jretai.2010.09.001
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    6. Dass, Mayukh & Reddy, Srinivas K. & Iacobucci, Dawn, 2014. "A Network Bidder Behavior Model in Online Auctions: A Case of Fine Art Auctions," Journal of Retailing, Elsevier, vol. 90(4), pages 445-462.
    7. MacKenzie, Scott B. & Podsakoff, Philip M., 2012. "Common Method Bias in Marketing: Causes, Mechanisms, and Procedural Remedies," Journal of Retailing, Elsevier, vol. 88(4), pages 542-555.
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    10. Tembi Maloney Tichaawa & Oswald Mhlanga & Sisa Sicwebu, 2017. "The Impact of Information Communication Technologies (ICTs) on Tourism Businesses in East London, South Africa," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 13(3), pages 18-29, JUNE.
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