Supply chain knowledge transfer and the role of power: The effects of availability of alternatives and restrained power use and a test of interaction

The literature identifies power distribution as a salient contributor to the effective operation of a supply chain partnership. There is however a paucity of empirical research examining how power distribution influences knowledge transfer and in turn the performance of supply chain partners. The aim of this research is to address this gap by examining the relationship between power distribution, knowledge acquisition and supply chain performance among the supply chain partners of a focal Chinese steel manufacturer. A structured survey was used to collect the necessary data. Two conceptually independent variables – availability of alternatives and restraint in the use of power – were used to assess power distribution. We also examined the interaction effect of these two variables on the interfirm knowledge transfer. This paper enriches the literature by empirically extending the understanding of how power distribution affects knowledge acquisition and supply chain performance.