Title: Effects of information technology on supplier-customer cooperative relationships

Authors: Ramesh Dangol; Thawatchai Jitpaiboon; Sushil K. Sharma; Ray Montagno

Addresses: Miller College of Business, Ball State University, 2000 University Ave., Muncie, IN 47306, USA. ' Miller College of Business, Ball State University, 2000 University Ave., Muncie, IN 47306, USA. ' Miller College of Business, Ball State University, 2000 University Ave., Muncie, IN 47306, USA. ' Miller College of Business, Ball State University, 2000 University Ave., Muncie, IN 47306, USA

Abstract: The benefits a firm can realise from establishing cooperative relationships with suppliers and customers have been documented, extensively. However, very little is known about what happens when a firm uses information technology to facilitate a cooperative relationship (IT-mode) with suppliers and customers, and when it uses face-to-face (socialisation). Results of this study suggest that a firm's decision to either use IT or socialisation to facilitate its cooperative relationships with suppliers and buyers is contingent on the type of knowledge exchanged between cooperating partners. A firm uses IT to facilitate cooperative relationships when exchanging codified information, whereas tacit knowledge is exchanged through face-to-face interactions. This study suggests that the use of IT or socialisation to facilitate cooperative relationships is contingent on type of knowledge being exchanged.

Keywords: information technology; cooperative relationships; cooperative strategy; resource-based view; RBV; codified information; tacit knowledge; socialisation; suppliers; buyers.

DOI: 10.1504/IJMED.2012.046795

International Journal of Management and Enterprise Development, 2012 Vol.12 No.1, pp.21 - 32

Available online: 08 May 2012 *

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