Relationship learning and performance enhancement via advanced information technology: the case of Taiwanese dragon electronics firms

Purpose: There has been growing interest on how emerging country firms can improve collaborative relationships with their international supply chain partners and improve performance outcomes. This paper aims to develop and test a model which emphasizes how advanced information technology and relationship learning can help Taiwanese electronics firms to improve their working relationship with international buyers. Design/methodology/approach: Data were collected from 246 Taiwanese electronics firms which nurture relationships with international buyers. Structural equation modeling was employed to test the interrelationships between key concepts in the proposed conceptual model. Findings: The findings suggest that applied technological innovation, a key IT resource, can enhance relationship learning for suppliers in their dealings with international buyers. This in turn contributes to higher supplier innovativeness and relationship performance. Moreover, applied technological innovation can improve supplier innovativeness directly. Interestingly however, applied technological innovation does not directly contribute to relationship performance. Research limitations/implications: This paper provides empirical evidence on the contribution of applied technological innovation on enhancing relationship learning and innovation in interfirm relationships for Asia‐Pacific dragon electronic firms. Practical implications: Managers should focus on building relationship learning and adopting advanced IT to support joint learning activities in international channel relationships in order to improve relationship outcomes. Originality/value: The paper develops hypotheses and tests a conceptual model which explains the contribution of applied technological innovation and relationship learning on supplier innovativeness and relationship performance