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Developing resilience strategies amid supply chain risks in the automotive industry: A stakeholder theory perspective

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  • Luay Jum'a
  • Salam Qamardin
  • Muhammad Ikram

Abstract

Managing automotive supply chain risks contributes to achieving sustainability goals, including ensuring business continuity, maintaining production and delivery schedules, and reducing environmental impact. Therefore, this study aims to investigate the risks confronting the supply chain in the automotive industry through the moderating effect of reactive and proactive resilience strategies. The stakeholder theory perspective was used in this study to examine supply chain risk in the automotive industry. A quantitative method was employed, resulting in 157 valid responses. The results reveal that demand risk had the most significant effect on auto dealer performance, followed by logistics/transportation, production, and supply risk. Notably, proactive resilience strategies were found to significantly impact the relationship between risk and performance. The findings underscore the importance of proactive measures in mitigating the performance impacts of supply chain risk. This study contributes a theoretical framework by identifying four major supply chain risks and seven proactive and 12 reactive strategies. In addition, the study was conducted through the lens of stakeholder theory, emphasizing the importance of suppliers, manufacturers, and dealers cooperating to establish a reliable supply chain.

Suggested Citation

  • Luay Jum'a & Salam Qamardin & Muhammad Ikram, 2024. "Developing resilience strategies amid supply chain risks in the automotive industry: A stakeholder theory perspective," Business Strategy and the Environment, Wiley Blackwell, vol. 33(8), pages 9197-9213, December.
    • Handle: RePEc:bla:bstrat:v:33:y:2024:i:8:p:9197-9213
    DOI: 10.1002/bse.3977
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