Title: Network diversity and supplier network performance: a case study

Authors: Cong Cheng

Addresses: China Institute for Small and Medium Enterprises, Zhejiang University of Technology, Room B105, Bo-Yi Building, No. 288 Liuhe Road, Xihu District, 310023, Hangzhou, China

Abstract: Through combining the portfolio theory and business network theory, the paper tries to analyse the supplier network performance from network ties, network structure and node activity and investigates which is the factor affecting supplier network performance mostly in network ties, network structure and node activity respectively. The results show that information sharing and staff exchanging in network ties, business proportion in network structure, ranking of Midea in vendors' offering companies and strength of technical cooperation in node activity are the most important factors affecting the performance of Midea air-conditioning division's supplier network. The implications of these findings for supplier network management related with focal company's benefits are discussed and limitations and recommendations for future research are also presented.

Keywords: supplier networks; network performance; network diversity; case study; network capital; supply chain management; SCM; case study; portfolio theory; business network theory; network ties; network structure; node activity; technical cooperation.

DOI: 10.1504/IJLIC.2015.070159

International Journal of Learning and Intellectual Capital, 2015 Vol.12 No.3, pp.211 - 231

Received: 22 Nov 2013
Accepted: 16 Dec 2014
Published online: 28 Jun 2015 *

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