10.1007/s11575-007-0047-8">
 

Title

The effect of Keiretsu affiliation and resource dependencies on supplier firm performance in the Japanese automobile industry

Document Type

Article

Publication Date

2006

Department

Management

Abstract

Resource dependence theory was used to develop hypotheses on whether keiretsu affiliation, mutual dependence between the automaker core and supplier firms, and internationalization level of the affiliate firm have an effect on its performance. The hypotheses were tested on archival data from the entire population of 470 first-tier automobile components suppliers in Japan. Results indicate that lower levels of supplier-firm dependencies on the automaker firm and higher levels of automaker firm dependencies on the supplier firm had a positive effect on the performance of the supplier firm. Interestingly, keiretsu affiliation was not found to have an impact on supplier firm performance.