A Study on the Market Reaction Ability of the Manufacturing Supply Chain

Supplier coordination and market reaction ability have become topical subjects in recent years. The goal of the coordination and cooperation of the firms in a supply chain is to be able to rapidly respond to market changes. The subjects of this study were Taiwanese manufacturing firms with complete experience of the supply chain activities of being the upstream supplier and the downstream customer. Structural equation modeling (SEM) was used to establish the supply chain strategy model, and validate the causality and interaction effect weights of the state of environment, coordination and reaction ability between firms. The empirical results suggested that market resource environment competition has a positive impact on supply chain coordination and product development integration, while supply chain coordination has a positive impact on product development integration and market reaction ability. Finally, product development integration was found to have a positive impact on market reaction ability. The empirical results could provide a reference to firms in reviewing the impact of market resource uncertainties on individual firms before developing the supply chain strategic directions