Restaurant dependence/autonomy in the supply chain and market responsiveness

Abstract

Purpose This study aims to understand how restaurant dependence and autonomy within the supply chain influence market responsiveness. An examination of influences related to improving market responsiveness was also conducted by investigating the moderating roles of information technology adoption and trust. Design/methodology/approach Hierarchical regression models were developed to test the hypothesized relationships. In particular, data were obtained from only independent restaurant owners and managers because of their ability to select and determine their own suppliers. Findings Results revealed that restaurant autonomy from suppliers has a more positive effect on market responsiveness than supplier dependence. The moderating test results revealed that information technology adoption significantly improved the relationships between restaurant dependence and market responsiveness, while exhibiting no significant moderating effect. Restaurant trust in suppliers significantly improved the positive effect of autonomy upon market responsiveness; however, it had no significant moderating effect on this link. Originality/value This study was conducted to identify what types of supplier relationships should be pursued to improve the independent restaurant’s ability to effectively respond to market conditions. The findings regarding the moderating effects of information technology adoption and trust provided clear evidence that buyer–supply relationship strategies should be developed in consideration of those distinguishable characteristics unique to the operations and environment of independent restaurants. Practical implications Findings can be applied to developing desirable relationships with suppliers characterized by restaurant dependence or autonomy and contribute to improving managerial actions for independent restaurants involving adopting information technology and building trust.