Abstract
This article examines how production mode and contractual governance moderate the effects of two distinct interfirm coordination mechanisms on overseas knowledge acquisition for suppliers in offshore cooperation. An investigation of 204 offshore suppliers in China finds that the positive effect of technology-based coordination mechanism (TCM) on overseas knowledge acquisition for an original equipment manufacturing (OEM) supplier is stronger than that for an original design manufacturing (ODM) supplier. By contrast, the positive effect of personal coordination mechanism (PCM) on overseas knowledge acquisition for an ODM supplier is stronger than that for an OEM supplier. Besides, as the degree of contractual control grows, the positive effect of TCM on overseas knowledge acquisition becomes stronger, whereas the positive effect of PCM becomes weaker. Further, when considering coordination, production, and governance jointly, we find that the strengthening effect of contractual control on the influence of TCM for OEM is stronger than that for ODM, and that the weakening effect of contractual control on the influence of PCM for ODM is stronger than that for OEM.
| Original language | English |
|---|---|
| Article number | 100653 |
| Journal | Journal of International Management |
| Volume | 25 |
| Issue number | 2 |
| DOIs | |
| State | Published - Jun 2019 |
| Externally published | Yes |
Keywords
- Contractual governance
- Global value chain governance
- Offshore cooperation
- Overseas knowledge acquisition
- Personal coordination mechanism
- Production mode
- Technology-based coordination mechanism
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