Supply chain management in traditional industries in Brazil: a relational view

Abstract

This multiple case study investigated supply chain management (SCM) and relational competitive advantage in companies from the textile, footwear and food industries in the northeastern region of Brazil. We used constant comparison method to analyse the data collected by in-depth interviews. Some important constructs of SCM and relational view characterise the relationships, like absence of formal contracts, investments in specific assets, supplier base reduction, long-term relationships, information exchange and knowledge exchange. The relationships with suppliers in the footwear industry have greater alignment to SCM and contribute more significantly to the relational competitive advantage, especially through joint development of materials and products and innovation, which is very important for textile and footwear industries of which are heavily influenced by fashion and, therefore, need the ability to innovate in order to stay competitive in the market. The results permitted the development of three theoretical propositions to be tested in future studies.