Study on the Influencing Mechanism of Inter-firm Conflicts 
on Financial Performance in Inter-organizational Systems

Hao Cao

doi:10.70711/memf.v2i8.7432

Study on the Influencing Mechanism of Inter-firm Conflicts on Financial Performance in Inter-organizational Systems

Hao Cao

Abstract

With global IT advancement, firms increasingly adopt Inter-organizational Systems (IOS) for collaboration, but goal/role/resource disparities often cause conflicts that undermine financial performance. Existing research focuses on IOS development rather than
inter-firm conflicts impact on performance and its mechanisms. Guided by conflict and transaction cost theories, this study analyzes 283
firms data, finding that functional conflict boosts financial performance and cuts information costs, while dysfunctional conflict has negative effects. Information cost mediates the conflict-performance link, and IOS integration strengthens functional conflicts negative impact
on information costs.

Keywords

Inter-organizational systems; Inter-firm conflict; Financial performance

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DOI: http://dx.doi.org/10.70711/memf.v2i8.7432

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