How does digital transformation promote supply chain diversification? From the perspective of supply chain transaction costs

Companies must implement digital transformation to achieve supply chain diversification with the current volatile economic conditions, which is crucial for their survival and as a fundamental measure to ensure industrial supply chain resilience and security. Based on A-listed companies, this paper s...

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Main Authors: Cai, Junjie, Sharkawi, Ismawati, Taasim, Shairil Izwan
Format: Article
Language:English
Published: Elsevier Ltd 2024
Online Access:http://psasir.upm.edu.my/id/eprint/112758/
http://psasir.upm.edu.my/id/eprint/112758/1/112758.pdf
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author Cai, Junjie
Sharkawi, Ismawati
Taasim, Shairil Izwan
author_facet Cai, Junjie
Sharkawi, Ismawati
Taasim, Shairil Izwan
author_sort Cai, Junjie
building UPM Institutional Repository
collection Online Access
description Companies must implement digital transformation to achieve supply chain diversification with the current volatile economic conditions, which is crucial for their survival and as a fundamental measure to ensure industrial supply chain resilience and security. Based on A-listed companies, this paper systematically examines the impact of digital transformation on supply chain diversification, exploring the underlying mechanism of this effect from the transaction cost perspective. This paper reveals that digital transformation can significantly promote upstream suppliers, downstream customers, and the whole supply chain diversification. This impact operates mainly through the reduction effects of supply and demand coordination and inventory transportation costs. © 2024
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publisher Elsevier Ltd
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spelling upm-1127582024-11-14T02:26:37Z http://psasir.upm.edu.my/id/eprint/112758/ How does digital transformation promote supply chain diversification? From the perspective of supply chain transaction costs Cai, Junjie Sharkawi, Ismawati Taasim, Shairil Izwan Companies must implement digital transformation to achieve supply chain diversification with the current volatile economic conditions, which is crucial for their survival and as a fundamental measure to ensure industrial supply chain resilience and security. Based on A-listed companies, this paper systematically examines the impact of digital transformation on supply chain diversification, exploring the underlying mechanism of this effect from the transaction cost perspective. This paper reveals that digital transformation can significantly promote upstream suppliers, downstream customers, and the whole supply chain diversification. This impact operates mainly through the reduction effects of supply and demand coordination and inventory transportation costs. © 2024 Elsevier Ltd 2024 Article PeerReviewed text en cc_by_nc_4 http://psasir.upm.edu.my/id/eprint/112758/1/112758.pdf Cai, Junjie and Sharkawi, Ismawati and Taasim, Shairil Izwan (2024) How does digital transformation promote supply chain diversification? From the perspective of supply chain transaction costs. Finance Research Letters, 63. art. no. 105399. pp. 1-6. ISSN 1544-6123 https://www.sciencedirect.com/science/article/pii/S154461232400429X 10.1016/j.frl.2024.105399
spellingShingle Cai, Junjie
Sharkawi, Ismawati
Taasim, Shairil Izwan
How does digital transformation promote supply chain diversification? From the perspective of supply chain transaction costs
title How does digital transformation promote supply chain diversification? From the perspective of supply chain transaction costs
title_full How does digital transformation promote supply chain diversification? From the perspective of supply chain transaction costs
title_fullStr How does digital transformation promote supply chain diversification? From the perspective of supply chain transaction costs
title_full_unstemmed How does digital transformation promote supply chain diversification? From the perspective of supply chain transaction costs
title_short How does digital transformation promote supply chain diversification? From the perspective of supply chain transaction costs
title_sort how does digital transformation promote supply chain diversification? from the perspective of supply chain transaction costs
url http://psasir.upm.edu.my/id/eprint/112758/
http://psasir.upm.edu.my/id/eprint/112758/
http://psasir.upm.edu.my/id/eprint/112758/
http://psasir.upm.edu.my/id/eprint/112758/1/112758.pdf