The transaction relationships within the supply chains are long-term relationships. As the importance of the transaction relationships are highlighted recently, the previously hierarchical transaction relationships are transforming to flexible transac...
The transaction relationships within the supply chains are long-term relationships. As the importance of the transaction relationships are highlighted recently, the previously hierarchical transaction relationships are transforming to flexible transaction relationships. In this paper, network flexibility refers to a company's ability to meet the changed demands of its partner in a setting where a business is conducted between a first tier subcontractor and a second tier subcontractor. Strong solidarity and dependence among transactional partners in supply chain are another important factors to attain competitive advantage. A set of propositions among network flexibility, solidarity, dependence and network performance are developed and practical implications are also provided.