The effect of risks from the supply chain on corporate financial performance: A case study in Vietnam

Abstract

This study aims to examine the impact of risks from information in the supply chain on the financial performance of enterprises, with the case study in Vietnam, using quantitative research methods, through SEM linear structure model analysis. With 412 samples who are managers of different ranks at enterprises, the study results show that risks from information in the supply chain not only have a direct, reverse impact but also have an indirect impact on financial performance depending on the level of interdependence of businesses. In addition, opportunistic behavior and the degree of interdependence have also been shown to have a reverse impact on the level of cooperation of enterprises. The findings of this study show a contribution both theoretically and practically, demonstrating the inherent negative risks of information in the supply chain to the financial performance of the enterprise. Research has shown the intermediate role of the degree of interdependence in the relationship between the above two factors. Based on the research results, the authors propose several recommendations to improve the financial performance of enterprises.