This article explores the impact of visions for sup-pliers in outsourced product development, the creation of visions for suppliers, and finally, the interplay between visions for suppliers and core capabilities of original equipment manufacturers (OEMs). Developing visions for suppliers can help OEMs to create clear expectations and thus better utilize the core capabilities of the buyer and sup-plier firms. Data for this research were collected in one automotive OEM and two of its first-tier sup-pliers, all based in Europe. The results of the study suggest that the creation of visions for suppliers impacts the development process positively. Further, the presence of visions for suppliers affects the core capabilities of the OEMs.
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