The effect of buyer digital capability advantage on supplier unethical behavior : A moderated mediation model of relationship transparency and relational capital

Drawing on organizational information processing theory, this study suggests a moderated mediation model that demonstrates how a buyer firm's digital capability advantage can reduce the unethical behavior of its suppliers. We collected two-wave survey data from 223 Chinese manufacturing firms and applied ordinary least squares regressions and the PROCESS macro model to test the proposed hypotheses. The findings reveal that a buyer firm's digital capability advantage indirectly decreases supplier unethical behavior through enhancing relationship transparency. In addition, this indirect effect is weaker when the level of relational capital is high. By examining the conditional indirect relationship between digital capability advantage and relational capital, this study provides valuable insights into how a buyer firm may effectively utilize digital capability advantage to improve relationship transparency and thereby reduce suppliers' unethical behavior.