An unsuccessful initiative to create a buying centre |
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Authors: | Isabel Fernández Quesada Nazario García Fernández David de la Fuente |
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Institution: | (1) Department of Business Administration, High Polytechnic School of Engineers, University of Oviedo, Campus de Viesques, 33204 Gijón-Asturias, Spain |
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Abstract: | An organization’s effectiveness depends on its ability to adapt its structures to new situations. This holds crucially true
for small companies, constrained by their resources and capacities. The interest of five small local companies for setting
up a united buying centre with which respond to the ever-changing market is described. Greater and better knowledge of the
potential suppliers’ pool, improved purchasing prices, greater negotiating power, access to more appropriate technology and
improved overall operations, all figured amongst the advantages of this initiative. However, despite the apparent importance
of these advantages, the study pinpoints a number of obstacles and a range of behavioural traits amongst the members involved
that would make the project unfeasible as a tool for achieving them. |
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Keywords: | Small and medium-sized companies Purchases Integration Strategy Collaboration |
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