Critical times in business relationships

Abstract

Purpose

The purpose of this paper is to develop a theoretical framework for and an initial understanding of critical times in business relationships.

Design/methodology/approach

The authors define “critical time” as a period of time with increased sensitivity in a business relationship that may change the actors' attitude and/or behaviour in the relationship. The authors review previous research, present the theoretical framework and present the findings from two explorative empirical studies concerning companies' relationships with information technology consultants and advertising agencies. The focus is on the factors driving the flow of critical times.

Findings

This authors introduce the concept “critical time” as a period of stress and raised sensitivity in a relationship that may change it. Critical times are built up by three elements: initial state of the relationship, the flow of critical time and outcome state of the relationship. The authors contribute with the critical C‐model: competence, communication, and clock.

Originality/value

This is the first study focusing on critical times in business relationships. The authors study two categories of knowledge intensive professional services. A new theoretical framework for, and an initial understanding of, critical times in business relationships are suggested.

Citation

Edvardsson, B. and Strandvik, T. (2009), "Critical times in business relationships", European Business Review, Vol. 21 No. 4, pp. 326-343. https://doi.org/10.1108/09555340910970436