The influence of inertia on contract design: contingency planning in information technology service contracts Journal Article uri icon

Overview

abstract

  • AbstractThis paper examines whether the prior relationship between two firms produces an inertial drag that influences contracts used for subsequent exchanges. Using data from the information technology services industry, we examine whether inertia develops during the relationship between firms in how they plan for contingencies. While attributes of the current exchange do play a role, we find that the prior relationship between the firms has a constricting effect on future contracts. Prior relationships can create what we call interorganizational inertia, which leads firms to use the same level of contingency planning in current exchanges that they used in prior contracts. Copyright © 2008 John Wiley & Sons, Ltd.

publication date

  • March 1, 2008

Date in CU Experts

  • January 12, 2018 7:32 AM

Full Author List

  • Mayer KJ; Bercovitz J

author count

  • 2

Other Profiles

International Standard Serial Number (ISSN)

  • 0143-6570

Electronic International Standard Serial Number (EISSN)

  • 1099-1468

Additional Document Info

start page

  • 149

end page

  • 163

volume

  • 29

issue

  • 2-3