Collaborative commerce or just common sense? Insights from vegetable supply chains in Ho Chi Minh City

Abstract

Purpose To demonstrate that collaborative commerce is not restricted to trade in branded products between large, multi‐national organisations. Design/methodology/approach Insights from extensive field research in Viet Nam. Findings The benefits from collaborative commerce are plain for all to see yet very little of it is being practices in retail food chains at present, due primarily to incompatible organisational cultures and a competitive market environment that drives large corporations towards transactional relationships based on price competition. The insights from the Vietnamese vegetable supply chain demonstrate the simplicity of the principles of collaborative commerce and the ease with which they are adopted when the culture is conducive to collaboration and a partnership approach to trading relationships. Research limitations/implications Findings are based on research conducted in and around Ho Chi Minh city and on a narrow product range, but anecdotal evidence suggests the principles apply across all commodities and extend beyond the South of the country. Practical implications Demonstrates the importance of organisational culture in collaborative commerce, so businesses who wish to benefit from collaboration in the supply chain need to look at ways of developing an organisational culture that is conducive to collaboration. Originality/value This paper sheds new light on the application of the principles of collaborative commerce in a developing country context and in a low value‐high risk food category, without major investment in IT systems.

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