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Choi, Young Rok
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Formal governance, interfirm coordination, and performance in partnerships: An empirical investigation of a mediation model

Author(s)
Choi, Young RokPhan, Phillip H.Choi, Jaepil
Issued Date
2020-06
DOI
10.1016/j.emj.2019.12.005
URI
https://scholarworks.unist.ac.kr/handle/201301/30481
Fulltext
https://www.sciencedirect.com/science/article/pii/S0263237319301495?via%3Dihub
Citation
EUROPEAN MANAGEMENT JOURNAL, v.38, no.3, pp.413 - 424
Abstract
This study investigates the extent to which formal governance mechanisms such as contracts and equity ownership affect interfirm coordination and partnership performance. We analysed data from a survey of 301 Korean firms to show that interfirm coordination partially mediates the relationship between contract completeness, defined as the extent to which a contract specifies task operations and contingencies, and partnership performance. Furthermore, we find that more complete contracts can attenuate the negative effects of equity ownership on coordination, and that this effect is particularly strong when partner tasks are interdependent and relational norms are weak.
Publisher
Wiley-Blackwell
ISSN
0263-2373
Keyword (Author)
Interfirm partnershipsCoordinationContractsEquity ownershipFormal controlPartnership performance

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