Business, Management and Accounting
8 years ago

Supply chain management reduces costs and narrows firm boundaries for efficiency.

Logistics Technology
On Firm's Vertical Boundaries in Supply Chain Management
Qiusheng Zhang

Paper Summary

The article discusses how supply chain management can impact firms' vertical boundaries by affecting asset specificity, uncertainty, and transaction frequency. By reducing transaction costs, supply chain management can lead to narrower vertical boundaries for firms. The paper also provides suggestions for firms to reengineer based on core competitiveness theory.

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