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Abstract Strategic supply chains serve as a potential source of competitive advantage for firms. The ability of a strategy supply chain to engender cultural competitiveness, or joint entrepreneurship and learning aimed at filling market gaps, is a key path through which a strategic supply chain may become a competitive advantage. A balance of trust and power within the supply chain offsets uncertainty and risks associated with the behaviors underlying cultural competitiveness. Using a multi‐theoretic perspective, we discuss four strategies that firms use to balance a climate of trust and power in a strategic supply chain. Identifying an authority, generating a common supply chain identity, utilizing boundary spanning ties, and providing procedural and interactive justice are the strategies we discuss.
Ireland et al. (Tue,) studied this question.