On the base of e-business process view and transaction cost economics, we propose the formation model of online collaborative capability, explore the creation process of online collaborative capability, and examine the complex role of formal governance. We adopt an empirical research method with structural equation modeling to verify the underlying hypotheses of the research model in a study of 202 manufacturing firms. The findings suggest that the creation process of online collaborative capability is online collaboration needs→online collaborative resources→online collaborative capability, and formal governance not only positively affects online collaborative capability, but also positively moderates the impact of online collaborative resources on online collaborative capability. This study has important theoretical and practical implications for enhancing e-business implementation, and reveals the complex role of formal governance in the creation process of online collaborative capability.
Shen, Xiaokuan; Zhao, Jing; Liu, Yanran; Wang, Fei; and Jin, Xin, "An Empirical Study of the Creation of Online Collaborative Capability from Formal Governance Perspective" (2013). WHICEB 2013 Proceedings. 19.