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Customer Concentration and Suppliers’ Blockchain Technology Adoption: Evidence from China

  • Chaofan Li
  • , Qiliang Liu
  • , Wenming Wang
  • , Cheng Zeng
  • , Pin Zhou

Research output: Journal article publicationJournal articleAcademic researchpeer-review

Abstract

This study examines the relationship between major customer concentration and supplier firms’ adoption of blockchain. Using a sample of 9,745 Chinese firm-year observations spanning 2018–2021, we find that the likelihood of suppliers’ blockchain technology adoption in supply chain management is negatively associated with major customer concentration. The negative relation is reduced when supplier firms possess greater bargaining power and demonstrate governance mechanisms against information leakage, and when major customers have less incentive to engage in opportunistic behaviors, and have fewer concerns regarding information leakage by suppliers. Our findings suggest that major customers tend to discourage supplier firms from adopting blockchain due to the concerns regarding competitive advantages and information leakage risk.

Original languageEnglish
Pages (from-to)3082-3100
Number of pages19
JournalProduction and Operations Management
Volume34
Issue number10
Early online date23 Mar 2025
DOIs
Publication statusPublished - Oct 2025

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

  1. SDG 9 - Industry, Innovation, and Infrastructure
    SDG 9 Industry, Innovation, and Infrastructure

Keywords

  • Bargaining Power
  • Blockchain Adoption
  • Customer Concentration
  • Governance Mechanisms
  • Information Leakage Concerns

ASJC Scopus subject areas

  • Management Science and Operations Research
  • Industrial and Manufacturing Engineering
  • Management of Technology and Innovation

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