1. Free exchange of information e.g. sharing costs and demand data
2. Coordinated decision making reduces the inefficiencies inherent in less collaborative relationships.
3. Mutual trust is crucial to reassuring firms that information shared with a partner will not be used against them.
4. Longer-term commitment to the partnership encourages parties to invest in further improvement of the join supply chain to mutual advantage.
5. Shared goals and targets.
6. Joint problem saving.
7. Utmost good faith from all parties.
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