Organizational factors affecting supply chains in developing countries

Abstract

Purpose The purpose of this paper is to provide managers of multinational companies and researchers with a framework for investigating and effectively managing organizational factors and supply‐chain networks in lieu of conditions prevalent in developing countries. Design/methodology/approach This paper draws from the international management, supply‐chain management, and organizational behavior literature to construct a framework and formulate propositions linking important organizational factors to supply‐chain effectiveness in developing countries. Findings The paper reviews the literature, develops a useful framework, formulates propositions, and provides important managerial insights for supply‐chain management in developing countries. Research limitations/implications Supply‐chain effectiveness is a broad construct in this paper. Future research might want to isolate and examine the potential effects of organizational variables on more narrow supply‐chain outcomes. Practical implications The modeled framework can help managers of Multinational Corporations (MNCs) better understand and manage important organizational variables in ways that render their supply chains in developing countries more effective. Originality/value Currently, the literature does not provide managers of MNCs and researchers a framework for investigating and effectively managing key organizational factors affecting supply‐chain networks in lieu of conditions prevalent in developing countries. This paper attempts to fill this gap. Propositions developed in this paper can serve as a foundation for future empirical research needed to support the development of theory in this area.

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