Supply Chain Alliances: Exploring the Drivers of Performance Value and Buyer Satisfaction

In this paper, the authors investigate the value gained from supply chain alliances. As companies determine whether or not to partner and effectively shut-out competition, it is imperative to know that an alliance will drive value for the firms involved. Archival data from the food service industry are examined to understand where suppliers can add value in a partnership and to learn whether these relationships affect customer satisfaction. Exploratory results indicate there are factors that allow a supplier to both directly and indirectly contribute to the value customers may gain from forming an alliance. Furthermore, providing value to customers through a supply chain alliance does result in greater customer satisfaction. In deriving the results, this paper extends the research on supply chain alliance value by measuring what the value represents to buyers as well as to suppliers.