The Influence of R&D Intensity on Supply Chain Transparency: Evidence From the Disclosure Substitution Perspective

Abstract

This paper shows that the existence of disclosure-related costs and benefits explains the influence of R&D intensity on supply chain transparency. We find that R&D-active firms are more likely to redact supply chain identities but disclose supply chain distribution as a substitution. The effect of withholding (disclosing) the specific identities (distribution) of supply chain is more (less) pronounced when firms are in higher competitive industries or non–state-owned enterprises. Our study provides evidence of disclosure substitution behavior in a unified voluntary setting of supply chain transparency and shows that partial disclosure of nonproprietary information may be optimal.