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The purpose of this research is to investigate the relationships between supply chain relationships/integration, innovative capabilities and manufacturing performance. The study adopts Institutional Theory and Resource-Based View Theory to assess relationships in 171 organisations drawn from three rapidly developing countries - Brazil, India and China. Data were collected using the International Manufacturing Strategy Survey (IMSS VI) and analysed using structural equation modelling. The study found that supply chain relationships and integration relate positively to both product and process innovative capabilities. The study also found that both product and process innovative capabilities relate positively to manufacturing performance. Furthermore, there was a positive relationship between product innovative capabilities and process innovative capabilities. The findings provide new insights into manufacturers in the three countries and show that the relationships they build with their customers have encouraged them to develop new innovative capabilities. These new capabilities, in turn, have enabled them to reap benefits of improved manufacturing performance. [ABSTRACT FROM AUTHOR]

As the information superhighway reaches unprecedented levels of growth and acceptance in the commercial business sector, the key challenge for many firms is to become an architect in the new revolution of electronic commerce. The Internet increases the richness of communications through greater interactivity between the firm and the customer. This article is about new competitive challenges being realised through non-linear forms of innovation emerging on the Internet and building a commercial capability to meet the challenge. [ABSTRACT FROM AUTHOR]