Journal
INTERNATIONAL JOURNAL OF PRODUCTION RESEARCH
Volume 49, Issue 6, Pages 1531-1555Publisher
TAYLOR & FRANCIS LTD
DOI: 10.1080/00207540903567317
Keywords
information exchange; supply chain management; empirical study
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In this investigation, following the principal-agent theory, possibilities to reduce existing information asymmetries are derived and their effects on the information exchange are examined. Results of an empirical investigation based on a structural equation model confirm that monitoring measures and frequent meetings positively influence the exchange of information while explicit contracts have rather negative effects. Premiums and specific investments, however, seem to play insignificant roles. Measures, such as building a reputation mechanism, will probably prove to be effective only in the long run.
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