Influence of switching costs and resource dependence in interorganizational cooperation

Castanha, Eduardo Tramontin; Gasparetto, Valdirene

doi:10.1590/1678-6971/eRAMR240184

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Resources and Entrepreneurial Development • RAM, Rev. Adm. Mackenzie 25 (02) • 2024 • https://doi.org/10.1590/1678-6971/eRAMR240184 copy

Influence of switching costs and resource dependence in interorganizational cooperation

Influência dos custos de troca e da dependência de recursos na cooperação interorganizacional

Authorship SCIMAGO INSTITUTIONS RANKINGS

Abstract

Purpose: This article analyzes the influence of switching costs and resource dependence on interorganizational cooperation between contractors (buyers) and transport companies (sellers).

Originality/value: The management accounting literature has traditionally focused on intraorganizational controls. However, researchers have a growing interest in applying management accounting elements in the interorganizational scope. This study contributes to the literature on interorganizational relationships by presenting possible evidence of the relationship between resource dependence, switching costs, and interorganizational cooperation between contractors and transport companies.

Design/methodology/approach: This quantitative study surveyed the perception of professionals from food and beverage sector companies about the transport companies they contract. A total of 120 professionals participated in the study, and the Structural Equations Modeling (SEM) technique was used to analyze the structural model.

Findings: The relational and procedural dimensions of switching costs and resource dependence influence interorganizational cooperation positively. A total mediation of resource dependence was found in the relationship between procedural switching costs and interorganiza-tional cooperation. The results showed that switching costs and resource dependence are antecedents of interorganizational cooperation between the firms surveyed and the transport companies they contract. As for social and managerial implications, this study offers managers a deeper understanding of the importance of switching costs and resource dependence and the impacts of these factors on interorganizational cooperation.

Keywords
switching costs; resource dependence; interorganizational cooperation; interorganizational relationships; buyer-supplier relationships

Constructs	Variables	Number of statements	Scale
Switching costs Variables and statements adapted from Burnham et al. (2003)Burnham, T. A., Frels, J. K., & Mahajan, V. (2003). Consumer switching costs: A typology, antecedents, and consequences. Journal of the Academy of Marketing Science, 31(2), 109-126. https://doi.org/10.1177/0092070302250897 https://doi.org/10.1177/0092070302250897... .	Procedural	18	From 1 = totally disagree to 7 = totally agree
	Financial	5
	Relational	7
Resource dependence Variables and statements adapted from Lee and Scott (2015)Lee, M. T., & Scott, K. (2015). Leveraging IT resources, embeddedness, and dependence: A supplier’s perspective on appropriating benefits with powerful buyers. Information & Management, 52(8), 909-924. https://doi.org/10.1016/j.im.2015.06.008 https://doi.org/10.1016/j.im.2015.06.008... .	Resource dependence	5	From 1 = never to 7 = always
Interorganizational cooperation Variables and statements adapted from Heide and Miner (1992)Heide, J. B., & Miner, A. S. (1992). The shadow of the future: Effects of anticipated interaction and frequency of contact on buyer-seller cooperation. Academy of Management Journal, 35(2), 265-291. https://doi.org/10.5465/256374 https://doi.org/10.5465/256374... .	Information exchange	4	From 1 = totally disagree to 7 = totally agree
	Flexibility	4
	Shared problem solving	4
	Restraint in the use of power	3

Construct	Statement	Factor	%VAR	KMO	Bartlett’s sphericity test
Switching costs (procedural)	CRE2	0.497	60.02	0.7	X² = 510.543 Sig = 0.000
	CRE3	0.701
	CRE4	0.840
	CRE5	0.741
Switching costs (procedural)	CAV1	0.690	60.02	0.7	X² = 510.543 Sig = 0.000
	CAV2	0.777
	CAV3	0.801
	CAV4	0.746
	CAP1	0.470
	CAP2	0.560
	CAP4	0.824
	CSU1	0.499
	CSU3	0.673
	CSU4	0.712
Switching costs (financial)	CPB1	0.875	79.51	0.7	X² = 256.98 Sig = 0.000
	CPB2	0.890
	CPB3	0.780
	CPM1	0.922
	CPM2	0.848
Switching costs (relational)	CPRP1	0.856	70.13	0.7	X² = 275.527 Sig = 0.000
	CPRP2	0.914
	CPRP3	0.709
	CPRM1	0.775
	CPRM2	0.713
	CPRM3	0.659
Resource dependence	DRE4	0.831	69.06	0.5	X² = 18.447 Sig = 0.000
Resource dependence	DRE5	0.831	69.06	0.5	X² = 18.447 Sig = 0.000
Interorganizational cooperation	FL2	0.774	64.72	0.8	X² = 387.49 Sig = 0.000
	FL3	0.810
	FL4	0.534
	CI1	0.586
Interorganizational cooperation	CI2	0.661	64.72	0.8	X² = 387.49 Sig = 0.000
	CI3	0.811
	RC1	0.744
	RC2	0.831
	RC4	0.648
	RP1	0.772
	RP2	0.702
	RP3	0.720

Panel A: Discriminant validity by the Fornell and Larcker (1981)Fornell, C., & Larcker, D. F. (1981). Structural equation models with unobservable variables and measurement error: Algebra and statistics. Journal of Marketing Research, 382-388. https://doi.org/10.1177/002224378101800313 https://doi.org/10.1177/0022243781018003... criterion
	1	2	3	4	5
1. Switching costs (procedural)	0.761
2. Switching costs (financial)	0.529	0.850
3. Switching costs (relational)	0.277	0.365	0.874
4. Resource dependence	0.322	0.101	0.204	0.828
5. Interorganizational cooperation	0.185	0.152	0.330	0.302	0.690
Panel B: Validity and reliability indicators
AVE	0.579	0.723	0.763	0.686	0.477
CR	0.800	0.839	0.865	0.813	0.784
Panel C: Descriptive statistics
Average	3.61	3.45	4.16	4.47	5.40
Standard deviation	1.69	1.96	1.70	1.80	1.53

Hypothesis	Relationship	Path	T-value	P-value	Result
H1	Procedural switching costs ♦ Interorganizational cooperation	0.025	0.224	0.822	Rejected
	Financial switching costs ♦ Interorganizational cooperation	0.016	0.131	0.896	Rejected
	Relational switching costs ♦ Interorganizational cooperation	0.268	2.395	0.017	Confirmed
H2	Procedural switching costs ♦ Resource dependence	0.158	3.226	0.001	Confirmed
	Financial switching costs ♦ Resource dependence	-0.145	1.046	0.296	Rejected
	Relational switching costs ♦ Resource dependence	0.355	1.614	0.107	Rejected
H3	Resource dependence ♦ Interorganizational cooperation	0.238	2.610	0.009	Confirmed
H4	Procedural switching costs ♦ Resource dependence ♦ Interorganizational cooperation	0.084	1.880	0.060	Confirmed
	Financial switching costs ♦ Resource dependence ♦ Interorganizational cooperation	-0.034	0.899	0.369	Rejected
	Relational switching costs ♦ Resource dependence ♦ Interorganizational cooperation	0.038	1.328	0.184	Rejected

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[1] Correspondence concerning this article should be addressed to Eduardo Tramontin Castanha, Avenida Universitária, Universidade do Extremo Sul Catarinense, Criciúma, Santa Catarina, Brazil, ZIP code 88806-000. Email: etc@unesc.net