Explaining Supplier Behavior on Global Account Management

41 Pages Posted: 7 Dec 2002

See all articles by David B. Montgomery

David B. Montgomery

Stanford Graduate School of Business

George S. Yip

Imperial College London

Belen Villalonga

New York University (NYU) - Leonard N. Stern School of Business

Date Written: November 2002

Abstract

Using globalization and contingency theory, this paper develops a supplier-based model of global account management (GAM). The model comprises the multinational supplier's industry globalization drivers, the multinational customers' extent of globally coordinated buying, such customers' demand for GAM services, the supplier's response in terms of using various aspects of GAM, and resulting possible improvement in the supplier's performance. The paper develops six hypotheses linking these variables. Data on various aspects of these variables were collected in a survey of 191 executives in multinational companies. Two related models are estimated from these data using a structural equations method. The results support the argument that the supplier's industry globalization drivers play a key role in affecting customers' demand for GAM services, and that supplier's implementation of GAM leads to significant performance improvements.

Suggested Citation

Montgomery, David B. and Yip, George S. and Villalonga, Belen, Explaining Supplier Behavior on Global Account Management (November 2002). Harvard NOM Working Paper No. 02-41; Stanford Research Paper No. 1767, Available at SSRN: https://ssrn.com/abstract=355240 or http://dx.doi.org/10.2139/ssrn.355240

David B. Montgomery

Stanford Graduate School of Business ( email )

655 Knight Way
Stanford, CA 94305-5015
United States

George S. Yip

Imperial College London ( email )

South Kensington Campus
Exhibition Road
London, Greater London SW7 2AZ
United Kingdom

Belen Villalonga (Contact Author)

New York University (NYU) - Leonard N. Stern School of Business ( email )

40 West 4th Street
Suite 9-160
New York, NY NY 10012
United States

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