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Value Co-Creation with Suppliers

Author

Listed:
  • Catarina Roseira

    () (Faculdade de Economia, Universidade do Porto)

  • Carlos Brito

    () (Faculdade de Economia, Universidade do Porto)

Abstract

The growing specialization of firms and the reinforcement of vertical disintegration have led to an increasing reliance on purchasing and supply management. This means that an increasing proportion of value is created outside the boundaries of the firm, namely by suppliers. In this context, the paper aims to relate the configuration of the bonds companies establish with their suppliers to the process of value creation. The paper furthers our understanding of buyer-supplier relationships as mechanisms for the coordination and development of capabilities on both sides of the dyad. Evidence was found that relationships affect not only the access and exploration of suppliers’ resources, but also the perception the buying firm has about their capabilities which is likely to condition the potential for joint value creation. The main contribution of the paper is that value co-creation involving suppliers must be regarded as a strategic option which depends on several conditions. This research puts in evidence two of these conditions: suppliers’ capabilities and the way the buyer-seller relationships are configured.

Suggested Citation

  • Catarina Roseira & Carlos Brito, 2009. "Value Co-Creation with Suppliers," FEP Working Papers 342, Universidade do Porto, Faculdade de Economia do Porto.
  • Handle: RePEc:por:fepwps:342
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    More about this item

    Keywords

    Buyer-supplier relationships; capabilities; relationship configuration; value creation;

    JEL classification:

    • M19 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Other

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