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The realities of today’s digital economy are requiring and enabling dramatically improved levels of supply chain efficiency and effectiveness. The business‐to‐business (B2B) or extended digital supply chain, enabled by Internet technologies, is specifically being offered as the next competitive weapon. This paper offers definitions and measures of the extended supply chain construct and reviews the results of an ongoing benchmarking research project completed in cooperation with the US and European Supply Chain Councils. This study found that Internet usage is just beginning in both the USA and Europe but has significant relationships to cross‐company (B2B) integrating practices that are key components of the extended supply chain and supply chain management performance.

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