The effect of task conflict on outsourcers’ long-term orientation toward suppliers: the moderating role of formal control and Chinese guanxi

Abstract

Purpose

This paper aims to investigate the antecedents of manufacturing firms’ long-term orientation towards their suppliers in the context of outsourcing relationships in China.

Design/methodology/approach

Based on survey data collected from 224 manufacturing firms in China, this study examines the hypothesized relationships.

Findings

The results show that task conflict has a negative effect on long-term orientation, both Chinese guanxi and formal control are useful governance mechanisms to enhance long-term orientation, and the negative effect of task conflict on the long-term orientation weakens as Chinese guanxi between a manufacturer and its supplier increases.

Originality/value

This study contributes to a better understanding of conflict management in outsourcing relationships in China.

Citation

Li, S., Haney, M.H., Lee, G., Kang, M. and Ko, C. (2020), "The effect of task conflict on outsourcers’ long-term orientation toward suppliers: the moderating role of formal control and Chinese guanxi", Journal of Business & Industrial Marketing, Vol. 35 No. 2, pp. 260-269. https://doi.org/10.1108/JBIM-03-2018-0098