University of Twente Proceedings

The influence of organizational structure on international purchasing success

Tressin, Tabea and Richter, Nicole Franziska and Midgley, David F. (2015) The influence of organizational structure on international purchasing success. In: 2nd International Symposium on Partial Least Squares Path Modeling - The Conference for PLS Users., 16 June 2015 - 19 June 2015, Seville, Spain .

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Event:	2nd International Symposium on Partial Least Squares Path Modeling - The Conference for PLS Users., 16 June 2015 - 19 June 2015, Seville, Spain
Abstract:	International purchasing is one of the most important strategic topics for managers and attracts more and more interest among researchers. Yet, research often lacks strong theoretical and systematic insights on the intricacies of purchasing success and does not make enough use of advanced empirical methods. We apply a structural equation modeling technique to better research into the intricacies of higher or lower purchasing performance owing to different organizational design choices. We build our model on the resource-based view and on transaction cost economics and make use of survey data of purchasers engaging in international sourcing activities. We find four important drivers of purchasing performance, namely specialization, configuration, standardization and centralization. The importance of these drivers seems to be contingent on the sourcing environments, namely on the characteristics attributed to high cost and low cost countries.
Item Type:	Conference or Workshop Item (Paper)
Uncontrolled Keywords:	International Purchasing, Global Sourcing, Emerging Markets, Organizational Structure, Structural Equation Modeling
Link to this item:	https://doi.org/10.3990/2.341
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