Companies could refrain from seeking full partnerships with suppliers for several reasons. One of them is that doing so would complicate the firm’s activities. Therefore, such companies may choose to seek partial partnerships because they want to maintain the simplicity of their operations. Secondly, organizations may choose to seek partial partnerships because they do not want to cede control of their core functions. Mostly, firms that choose this type of partnership may deem their operational processes as core competencies and hesitate to entrust other firms with their implementation. Therefore, they could opt to seek partial collaborations. Overall, the brand value of each company would dictate supplier relationships.
Why don’t companies seek full partnerships with all of their suppliers?
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Academic.Tips. (2022) 'Why don’t companies seek full partnerships with all of their suppliers'. 3 February.
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Academic.Tips. (2022, February 3). Why don’t companies seek full partnerships with all of their suppliers? https://academic.tips/question/why-dont-companies-seek-full-partnerships-with-all-of-their-suppliers/
References
Academic.Tips. 2022. "Why don’t companies seek full partnerships with all of their suppliers?" February 3, 2022. https://academic.tips/question/why-dont-companies-seek-full-partnerships-with-all-of-their-suppliers/.
1. Academic.Tips. "Why don’t companies seek full partnerships with all of their suppliers?" February 3, 2022. https://academic.tips/question/why-dont-companies-seek-full-partnerships-with-all-of-their-suppliers/.
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Academic.Tips. "Why don’t companies seek full partnerships with all of their suppliers?" February 3, 2022. https://academic.tips/question/why-dont-companies-seek-full-partnerships-with-all-of-their-suppliers/.
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"Why don’t companies seek full partnerships with all of their suppliers?" Academic.Tips, 3 Feb. 2022, academic.tips/question/why-dont-companies-seek-full-partnerships-with-all-of-their-suppliers/.