Identifying and Analyzing the Factors Influencing Value Co-Creation and Co-Destruction among Automotive Industry Partners

Document Type : Research Paper

Authors

1 Prof., Department of Management, Faculty of Economics and Management Sciences, University of Lorestan, Khorramabad, Iran.

2 Phd Candidate, Department of Public Administration, Faculty of Economics and Management Sciences, University of Lorestan, Khorramabad, Iran.

10.22059/jibm.2024.379586.4823

Abstract

Objective
Value co-creation and co-destruction represent a contemporary form of corporate strategy that emphasizes the ongoing creation and recognition of shared values between a firm and its business partners, emerging as outcomes of their continuous interactions. Just as partners can use the potential of their knowledge and skills in co-creating with each other, in case of dissatisfaction, they can also take steps to destroy each other. Therefore, partners in the automobile industry, which constitute the primary focus of this research, should recognize that if appropriate measures are not implemented during the value co-creation process, there is a high likelihood that it may result in value co-destruction. This research aims to identify factors affecting the co-creation and co-destruction of value in automotive industry partners. The analysis of these factors was done using the fuzzy mapping method.
 
Methodology
The current research adopts a mixed-methods approach, integrating both qualitative and quantitative research methods. In terms of practical purpose and data collection, this study is classified as survey research. The statistical population comprises automobile parts manufacturers, automotive company agencies, and university professors. A total of 25 participants were selected as the sample using purposive sampling based on the principle of theoretical saturation. In the qualitative phase, data were collected through semi-structured interviews, while in the quantitative phase, a pairwise comparison questionnaire was used based on the factors extracted from the interviews. To assess the validity and reliability of the data collection instruments, content validity and theoretical validity were applied in the qualitative phase, along with intercoder reliability, all of which were confirmed. In the quantitative phase, content validity and test–retest reliability were employed, and the results confirmed the validity and reliability of the instrument. To analyze the data in the qualitative part, the content analysis approach and the coding method were used using the ATLAS-ti software. In the quantitative phase, the fuzzy cognitive mapping method was applied to analyze the data.
 
Findings
The findings indicate that the most influential factors affecting value co-creation among partners include the coordination of changes, provision of support and training, partners’ trust in the company's commitments, industry participation in environmental pollution reduction programs, and the sharing of ideas with partners. The most critical factors contributing to value co-destruction among partners were identified as non-compliance with parts quality standards, failure to adhere to ethical principles in production, political non-compliance, procedural inflexibility, and the provision of low-quality imported products under domestic brand names.
 
Conclusion
In this research, the factors that cause co-destruction of value among partners were well identified. It was proven that co-destruction can be prevented by using the right and appropriate tools and adopting a strategy applicable to each factor. In this regard, if the organization uses the strategy of reducing the co-destruction of value among partners, the value perceived by the partners will be improved, and this will strengthen the co-creation of value. Cooperation also creates value by enabling partners to identify shared needs, challenges, and opportunities, thereby allowing them to capitalize on new opportunities through effective collaboration and interaction. Also, by sharing knowledge, experiences, and resources, partners can take advantage of the combination of their strengths and resources and help achieve their common goals. In general, identifying co-creative factors for business partners can help strengthen business relationships, increase cooperation and joint development between partners, and lead to the improvement of partners' performance and success. Cooperation also enables partners to identify shared needs, problems, and opportunities, allowing them to recognize and benefit from new opportunities through effective collaboration and interaction. In addition, by sharing knowledge, experiences, and resources, partners can take advantage of the combination of their strengths and resources and help achieve their common goals.

Keywords


 
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