The Growth of Digital Innovation in U.S. Businesses

According to Saraf et al. (2007). Since there is an assumption of covariance among the four items, the four indicators of SC IT integration are considered reflective indicators. The measurement of SC IT flexibility was assessed using four reflective measurement items that were adapted from previous studies (Saraf et al., 2007; Byrd and Turner, 2000). The items for SC IT flexibility assessed the degree to which SC applications can be adapted to meet evolving business and technological needs. A scale was used to measure the frequency of IT usage in the supply chain relationship. The scale ranged from rarely used to frequently used, with a midpoint indicating moderate usage. Building strong relationships. IT-enabled supply chain relational capability is a higher-level concept that consists of two fundamental aspects: supply chain process integration and supply chain collaboration. 

The measurement of SC process integration was based on five reflective indicators, which were adapted from previous studies by Saraf et al. 


(2007) and Yang and Papazoglou (2000).  The measurement of SC collaboration was assessed using six formative indicators that were developed based on previous research on SC relationships (Bensaou and Venkatraman 1995; Subramani and Venkatraman 2003; Sheu et al. 2006). A five-point scale is used to measure the frequency, ranging from the lowest end of "0% - 20% of the time" to the highest end of "81% The measurement used to assess the frequency of each supply chain activity from a given list was a scale ranging from "100% of the time" to "41% - 60% of the time." These include: 1) how important the supplier is for the product/service, 2) how crucial the customer's relationship with the supplier is in achieving their performance goals, 3) whether there are other comparable sources of supply available, 4) the costs involved in switching to a different supplier, and 5) the potential loss of profits. The initial measure involved quantifying the monetary value of transactions within the supply chain relationship from the previous year. The second measure was a comparative measure that showed the percentage of the  Two different measures were utilized to gauge the volume of transactions among the partners in the supply chain. 

Dependence between buyers and suppliers. 


The measures of firm dependence on a supply chain relationship were derived from the works of Kumar et al. (1998) and Heide and John (1988). The firm's reliance on the supply chain partner is influenced by the partner's importance to the firm and how easily they can be replaced (Heide and John 1988). The significance of the supply chain partner is determined by the partner's importance.
to the company's sales and profits and the company's achievement of its performance goals. The replaceability of a supply chain partner is determined by how easily they can be replaced by other firms. This study examined the level of reliance between the firm and its supply chain partner, as well as the perceived reliance of the partner on the firm. For a supplier, there are five indicators that show how much they rely on a customer. These include: 1) how important the customer is for the supplier's product or service, 2) how crucial the supplier's relationship with the customer is for their performance goals, 3) the availability of other customers, 4) the cost of switching to a different customer, and 5) the potential loss of sales and profits if the customer is replaced. From the supplier's perspective, the customer's reliance on the supplier was determined by several factors. These included the supplier's understanding of its role in meeting the customer's needs, the importance of the supplier-customer relationship to the customer's performance goals, the ease with which the customer could find alternative suppliers, the costs involved in switching suppliers, and the potential loss of profits for the customer if they were to switch.For a customer, there are five indicators that show how much they rely on a supplier. 

Variables that are kept constant


And there was a shift in sales as customers switched suppliers. The customer's perception of the supplier's dependence was assessed through several factors. These included the customer's perception of the supplier's sales, the importance of the supplier-customer relationship to the supplier's goals, the availability of alternative customers, the switching costs for the supplier, and the supplier's ability to replace the customer without significant profit loss. The dependence measures were assessed using a five-point scale, ranging from "Strongly Disagree" to "Strongly Agree," with the midpoint being "Neutral."In line with Kumar et al. (1998), the concept of dependence was defined as a composite index. Each of the five items measuring dependence represented a unique aspect of it, and the construct of dependence was determined by summing the scores across all items. The research focuses on two constructs: Total Interdependence of supply chain partners and Dependence Asymmetry. The calculation of Total Interdependence involves adding together the firm's dependence on the partner and the partner's dependence on the firm. The calculation of Dependence Asymmetry involves determining the absolute difference between the firm's dependence on the partner and the partner's dependence on the firm. Volume of transactions.

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