Abstract
A model was developed to show the association between specialized investments in an Interorganizational System (IOIS) and the structure and climate of the relationship between the participating organizations. Four hypotheses were proposed: In a seller-buyer relationship, specialized IOIS investments are associated with: 1) decreased control over decision making for the firm making the specialized investments; 2) increased formalization of transactions; 3) increased vertical interactions; and 4) under certain conditions, a more positive transactional climate. Structural Equation Modelling (SEM) techniques were used to test the model. Data was collected through a questionnaire survey of independent agencies in the property and casualty insurance industry. The findings suggested that the first and second hypotheses were not supported, whereas the third and fourth hypotheses received considerable support.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
