Study on the Indirect Effect Mechanism of Supply Chain Governance on Firm Performance

Abstract

This paper constructs a theoretical model on the influence mechanism of supply chain governance on firm performance, with information sharing, supplier trust and supply chain integration as intermediary variables and government support as moderating variables. Taking enterprises in Sichuan Province as the investigation objects, this paper empirically studies the relationships among supply chain governance, information sharing, supplier trust, supply chain integration, firm performance, and government support by means of questionnaire survey. The results show that supply chain governance has significant positive effects on information sharing, supplier trust, supply chain integration and firm performance. Government support plays a positive moderate role between supply chain governance and supply chain integration. Supply chain governance will indirectly affect enterprise performance through information sharing, supplier trust and supply chain integration, and the indirect effect is stronger than the direct effect. This indicates that enterprises should standardize supply chain governance, share information efficiently with partners, form a good trust relationship with suppliers, and promote a series of supply chain integration, so as to improve the overall performance of enterprises.