Results

For H1-H4, the proposed model with all measurement items from the first CFA model was estimated using EQS for Windows 5.7b. The results revealed an excellent fit of the model with the empirical covariances with xX — 148.441 on 72 df, LTI = 0.945, CFI = 0.957, SRMR = 0.072, and RMSEA = 0.076 (Hu and Bentler, 1999).

With H1, we argued for a positive effect of IT adoption for SCCS on firm coordination activities. The empirical results reveal that IT adoption for SCCS affects firm coordination positively (p < 0.01). We also found that IT adoption of a firm enhances coordination activities of its supply chain partner (p < 0.01) as postulated in H2. However, the results indicate that firm coordination does not affect market performance of the firm significantly (p > 0.05) lending no support to H3. Relating to the effect of partner coordination, we hypothesized its positive effect on market performance of the firm. The results suggest that partner coordination influences market performance of the firm positively (p < 0.01). Therefore, H4 is supported. These results are summarized in Table III.

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