This paper aims to identify the main methods of pricing and negotiation in the Brazilian auto parts supply chain and to determine how the characteristics of these methods affect transaction costs. The Brazilian auto parts supply chain was studied due to its complexity, technological upgrading, and growth in the recent years. To achieve these objectives, a survey was carried out and a questionnaire was sent to the supply chain managers of the 100 largest auto parts manufacturers. Based on the responses obtained, it was concluded that the largest multinational companies in the auto parts supply chain in terms of revenue use a wider range and more structured pricing and negotiation methods for the purchase of direct materials. On the other hand, domestic companies use mainly the simpler pricing and negotiation methods. The present study also presents, based on the characteristics of the major methods identified, the supply chain managers view about the influence of these characteristics on transaction costs.
Supply chain; Automotive supply chain; Negotiation methods; Transaction Costs
