TY  - JOUR
AB  - Purpose This paper aims to examine interbank market practices in a crisis to understand the importance of trust in dealing with control problems and managing risk in inter-organizational relationships (IORs).Design/methodology/approach A qualitative field study was conducted to collect data from two case-study banks and two key banking industry institutions.Findings The findings illustrate the use of trust-based partner-selection criteria such as guaranteed banks (i.e., banks granted special status by key banking industry institutions) and “clan-related” banks. In addition, the findings present several trust-based performance-control processes regarding the selected counterparties, such as negative expectations, goodwill and information sharing.Research limitations/implications This paper highlights IORs and considers how associated control problems and risks are affected by trust in the context of a large-scale crisis.Practical implications The findings provide insights into interbank market practices during the global financial crisis with respect to partner selection and performance control.Originality/value The empirical case of the banking industry helps broaden our understanding of inter-IORs.
VL  - 14
IS  - 3
SN  - 1176-6093
DO  - 10.1108/QRAM-07-2014-0049
UR  - https://doi.org/10.1108/QRAM-07-2014-0049
AU  - Rad Alexander
PY  - 2017
Y1  - 2017/01/01
TI  - The importance of trust for inter-organizational relationships: A study of interbank market practices in a crisis
T2  - Qualitative Research in Accounting & Management
PB  - Emerald Publishing Limited
SP  - 282
EP  - 306
Y2  - 2024/04/25
ER  -