How the Supplier Relationship, Market Position, and Proximity Impact Supplier Involvement and New Product Performance

Abstract

Overview: In today’s rapidly changing and competitive global business environment, companies must continuously develop successful new products. Recent studies indicate that supplier involvement in new product development (NPD) enhances firms’ competitive advantage and new product performance. In this study, we focus on the moderating effects of supplier involvement on NPD performance. We found that supplier relationship and supplier market position moderate the relationship between supplier involvement and NPD performance. Our findings suggest that co-developing new products with close suppliers who are market leaders results in better NPD performance.

Keywords::

• Supplier involvement
• New product performance
• Supplier relationship
• Supplier market position
• New product development

Additional information

Notes on contributors

Fang-Mei Tseng

Fang-Mei Tseng received her PhD in technology management from National Chiao Tung University in Taiwan. Currently, she is a professor at the College of Management, Yuan Ze University in Taiwan. Her research interests include data analysis, technology forecasting and technology assessment, new product sales forecasting, new product/service development, and performance evaluation. She has published more than 40 articles in high quality management journals, such as Technological Forecasting and Social Change and Journal of Business Research. [email protected]

Ju-Ying Weng

Ju-Yin Weng is a doctoral student in the Department of International Business, National Taiwan University. Her research interests include data analysis, emotions and cognition in humanoid robots, new product/service development, and social network marketing. She has published research articles in journals such as Technological Forecasting and Social Change. [email protected]

Cheng-Ming Wang

Cheng-Ming Wang graduated from Yuan Ze University with an MBA degree. Currently, he works for U-Ming Marine Transport Corporation as an HR assistant manager in charge of recruitment, training programs, and projects. [email protected]