Effective co-ordination of business-to-business relationships is an important determinant of firms' competitiveness under changing market conditions. Drawing on transaction cost analysis (TCA) and resource-dependence theory (RDT), the authors analyse the effects of inter-firm dependence and...

The use of transaction cost analysis (TCA) to study the choice of governance mode in foreign countries has been a source of considerable research. Empirical tests of the TCA predictions within a single governance mode are, however, limited. Building on transaction costs arguments, and related...