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Article
Publication date: 7 March 2016

Houcine Akrout, Mbaye Fall Diallo, Wafa Akrout and Jean-Louis Chandon

This paper aims to develop and validate a scale measurement of trust in long-term relations, specifically in the maintenance phase, between buyers and sellers. Relying on a…

3261

Abstract

Purpose

This paper aims to develop and validate a scale measurement of trust in long-term relations, specifically in the maintenance phase, between buyers and sellers. Relying on a cognitive conception, existing scales do not measure the affective trust occurring in the maintenance stage of the relationship.

Design/methodology/approach

Three surveys were conducted with purchasing managers of enterprises in various business-to-business (B2B) sectors to build a bi-dimensional measurement scale of affective trust as a sentiment of security and affective attachment. For measurement scale development, established construction procedures were followed, including qualitative and quantitative surveys. The process can be summarized as: domain specification, generation of questionnaire items, empirical survey and iterative process of scale purification based on reliability assessment and validity checks.

Findings

The results indicate satisfactory psychometric properties of the new Affective Trust Scale (ATS). Furthermore, they demonstrate the scale’s measurement invariance across business sectors. The research confirms the importance of affective aspects of trust and supports the reliability and validity of the measure. Nomological validity assessment of the scale shows that sentiment of security-based trust impacts investment in business relationships.

Research limitations/implications

The ATS developed and tested in the B2B French context needs to be evaluated taking into account several limitations. First, the specific context was a sample of buyers in France experiencing lasting relationships, suggesting that an extension of the study to other countries would be desirable. Also, the ATS needs to be further validated and confirmed in other contexts, for instance, within buyer–supplier relationship intensity.

Practical implications

The ATS can help firms to identify key parameters in buyer–seller relationships. It is important for the seller to collect information to determine the stage of the relationship before spending money on targeting customers, as they may not be ready to broaden the scope of their contract. The ATS can be very useful for companies to assess the state of the relationship and the strength of the bond in a timely manner and, therefore, anticipate the relational orientation. Segmentation based on relational phases requires tailoring to each form of trust strategies and hence the accurate identification of the relationship phase could help to better categorize and subcategorize customers with respect to the sentiment of security and affective attachment degrees. Furthermore, an understanding of the two dimensions is useful for key account managers to adjust relationship management toward specific actions (e.g. sentiment of security and/or affective attachment). The ATS could be very useful to guide managers in taking the right decision, by focusing both on sentiment of security and affective attachment dimensions of affective trust.

Originality/value

Affective trust is important to B2B managers, who frequently struggle to build and maintain close relationships with customers and suppliers. This paper adds insights into the complex but important construct of trust. The scale could be used for empirical studies of affective trust in B2B relationships. It may also help marketing managers develop better relationships with partners.

Details

Journal of Business & Industrial Marketing, vol. 31 no. 2
Type: Research Article
ISSN: 0885-8624

Keywords

Book part
Publication date: 1 November 2008

Roger Baxter

The provision of value, as a marketing issue, is receiving increasing attention from managers and scholars. This attention, in combination with strong calls for better…

Abstract

The provision of value, as a marketing issue, is receiving increasing attention from managers and scholars. This attention, in combination with strong calls for better quantification and stronger measures in marketing, has lead to increased interest in the assessment, quantified where possible, of the provision of value through buyer–seller relationships. This paper identifies dimensions of value provision through relationships in business markets with specific emphasis on the intangible aspects of value, which are important to long-term competitive advantage. The provision of value to the seller is the prime focus in this paper. The paper discusses the meaning of both tangible and intangible relationship value and the interplay between them and notes the importance of assessing the intangible part of the value, particularly the part which derives from the human aspects of the relationship. Despite their importance, the human aspects of relationships and their contribution to value is a sparse topic among researchers. The paper compares and evaluates potentially useful relationship and value conceptualizations. The paper discusses studies of relationship value and then outlines the results of a recent line of empirical research into the provision of value by a buyer to a seller that utilizes a framework synthesized from the intellectual capital literature. This recent research conceptualizes the potential for a seller's relationship with a buyer to provide intangible value to the seller in terms of, first, the resources available in the buyer and second, the capabilities of the buyer's boundary personnel to aid in facilitating the flow of those resources to the seller. The paper also includes the softer human aspects in the dimensions of value. These latter aspects are important to a full assessment of value. The paper concludes with a discussion of aspects of intangible relationship value that need further elucidation and will thus provide opportunities for future research.

Details

Creating and managing superior customer value
Type: Book
ISBN: 978-1-84855-173-2

Article
Publication date: 25 January 2008

Stefanie Bröring and L. Martin Cloutier

This paper seeks to shed some light on value‐creation in new product development (NPD) projects within the context of industry convergence and to explore alternative types of…

3761

Abstract

Purpose

This paper seeks to shed some light on value‐creation in new product development (NPD) projects within the context of industry convergence and to explore alternative types of projects characterised by different buyer‐seller relationships.

Design/methodology/approach

There has been much research on value‐creation in general, but limited emphasis on value‐creation in NPD projects addressing new industry segments emerging from industry convergence (for example, the segment of nuctraceuticals and functional foods (NFF) products that is positioned between the food and the pharmaceutical industries). Based on a multi‐case study approach, this paper pursues an exploratory research strategy and investigates 54 NPD projects drawn from a Quebec (Canada) NFF foods cluster.

Findings

In the context of convergence a new value chain is emerging between two formerly separated sectors. Value‐creation networks spread across industries and reinforce trends of convergence. Firms face competence gaps in NPD and seek to close these by choosing alternative forms of collaboration. Different types of NPD projects involve alternative forms of buyer‐seller relationships and their approach of value‐creation is analysed.

Research limitations/implications

A typology of different approaches to NPD in converging value chains is presented along with type‐specific implications for value‐creation for the required buyer‐seller relationship.

Originality/value

This paper provides a unique insight into value‐creation in NPD in the emerging NFF sector, in particular, and for converging industries, in general.

Details

British Food Journal, vol. 110 no. 1
Type: Research Article
ISSN: 0007-070X

Keywords

Article
Publication date: 14 July 2020

Jing Zhang, Ya Zhang and Mingfei Du

This paper aims to investigate how relative contractual and relational governances impact seller’s value appropriation via buyer’s trust, perceived justice and opportunism in the…

Abstract

Purpose

This paper aims to investigate how relative contractual and relational governances impact seller’s value appropriation via buyer’s trust, perceived justice and opportunism in the context of industrial buyer–seller relationships.

Design/methodology/approach

Survey data from 232 matched buyer-seller dyads of Chinese business-to-business (B2B) firms was used to test the conceptual model and research hypotheses. The confirmatory factor model and structural equation model were tested by using Lisrel 8.80.

Findings

The findings show that relative contractual governance and relative relational governance have opposite consequences on B2B relationship and value outcomes. Relative contractual governance generates higher level of buyer’s opportunist behavior because it reduces buyer’s trust and perceived justice, therefore harms seller’s value appropriation. By contrast, relative relational governance enhances buyer’s trust and perceived justice, therefore curbs buyer’s opportunism and improves seller’s value appropriation.

Originality/value

This study makes significant contributions to theory development of value appropriation and inter-firm governance mechanism by extending dyadic view to network view. It proposes the concept of relative governance and explores its role in shaping a business partner’s perception and behavior. It also provides insightful implications for B2B companies on capturing more benefits from the relationship with buyers by leveraging relative governance strategies.

Details

Journal of Business & Industrial Marketing, vol. 36 no. 2
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 9 May 2008

Harold Boeck and Samuel Fosso Wamba

The aim of this paper is to understand why a collaborative innovation, such as radio‐frequency identification (RFID) technology, engenders seemingly opposite buyer‐seller

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Abstract

Purpose

The aim of this paper is to understand why a collaborative innovation, such as radio‐frequency identification (RFID) technology, engenders seemingly opposite buyer‐seller relationship reactions among members of a supply chain.

Design/methodology/approach

The researchers carried out a three year exploratory multiple case study using the grounded theory approach through participant‐observation and collaborative action research. The research project culminated in a fully functional RFID proof of concept solution which involved multiple layers of a retail supply chain. The researchers chose the retail industry for the study because it provided the ideal conditions to answer the research question.

Findings

The results highlight the role of supplier‐buyer relationships as both crucial antecedents that shape RFID infrastructure and the consequence of RFID implementation. Specifically, the impact on and of eight key dimensions was considered, namely communication and information sharing, cooperation, trust, commitment, relationship value, power imbalance and interdependence, adaptation, and conflict. The paper also positions open‐loop RFID projects as supply chain inter‐organizational systems and presents a model to analyze such initiatives.

Research limitations/implications

The choice of methodology has provided the insight necessary to answer the research question. Other researchers are encouraged to validate these findings through replication with other case studies or through quantitative data to reach analytical and statistical generalizability. The authors also encourage future research on this topic in other industries.

Originality/value

As more supply chains move forward with collaborative RFID initiatives, it is important that these companies be aware of the strategic role of supplier‐buyer relationships as both crucial antecedents that shape RFID infrastructure and a consequence of RFID implementation.

Details

International Journal of Retail & Distribution Management, vol. 36 no. 6
Type: Research Article
ISSN: 0959-0552

Keywords

Article
Publication date: 25 October 2018

Yu Che, Yongqiang Li, Kim-Shyan Fam and Xuan Bai

This study aims to examine the underlying mechanism of buyer–seller ties and salespeople’s performance. Also examined was the moderating effects of the density of the customer…

Abstract

Purpose

This study aims to examine the underlying mechanism of buyer–seller ties and salespeople’s performance. Also examined was the moderating effects of the density of the customer network in which the salesperson is embedded.

Design/methodology/approach

The study developed a framework incorporating five key variables: strength of ties, network benefits, network density, sales effectiveness and sales revenue. The framework was tested using data from insurance companies in China.

Findings

Process regression and stepwise regression results indicated that information, influence and solidarity benefit will mediate the effects of strength of ties on sales effectiveness both when taken as a set and separately. Information, influence and solidarity benefit will mediate the effects of strength of ties on sales revenue when taken as a set, but only influence will mediate the effect separately. In addition, the positive relationship between strength of ties and solidarity benefit is weaker when network density is high.

Practical implications

Sales managers should initiate trainings and workshops about how to obtain high-quality information from customers, improving influencing power and establishing solidarity with customers. Moreover, salespeople should avoid conducting business with a group of customers if they are densely connected to one another.

Originality/value

On the one hand, this study contributes to the underlying mechanism research on buyer–seller ties and sales performance. On the other hand, it contributes to the contingency research on sales performance and the development of social network theory.

Details

Nankai Business Review International, vol. 9 no. 4
Type: Research Article
ISSN: 2040-8749

Keywords

Article
Publication date: 26 July 2011

Nurdilek Dalziel, Fiona Harris and Angus Laing

The complexity of customer relationships has been recognized in the relationship marketing literature. Yet, the understanding of how this complexity impacts on the formation and…

2690

Abstract

Purpose

The complexity of customer relationships has been recognized in the relationship marketing literature. Yet, the understanding of how this complexity impacts on the formation and development of different relationship forms is limited. Focusing on the development of customer‐service provider relationships in a financial services context, this paper aims to critically examine the nature and formation of business‐to‐consumer service relationships.

Design/methodology/approach

Qualitative methods were employed, with in‐depth interviews undertaken with a sample of UK bank customers.

Findings

The complexity of customer relationships was documented by approaching relationships as multidimensional, dynamic and contextual. A relationship typology based on four key relationship components (trust, commitment, buyer‐seller bonds, and relationship benefits) is proposed. This typology suggests that for a relationship to exist it does not necessarily have to encompass an emotional dimension. Moreover, the paper demonstrates the importance of the fit between customers' relational expectations and their experiences with service providers in developing long‐term committed relationships.

Research limitations/implications

The study was limited to the UK context. The extension of this study to other sectors or financial institutions operating in different regulatory and technological environments needs to be tested.

Practical implications

It is crucial that relationships are viewed as multidimensional, taking into account various relationship components. Since different relationship components influence relationships differently, organisations need to develop different relationship marketing strategies for each consumer segment according to consumers' relational expectations.

Originality/value

Building on preceding research, this paper broadens understanding of the complexity of customer‐firm relationships by presenting insight into the affective element of relationships and highlighting the role of the fit between customers' relational expectations and their experiences in relationship development.

Details

International Journal of Bank Marketing, vol. 29 no. 5
Type: Research Article
ISSN: 0265-2323

Keywords

Article
Publication date: 13 March 2009

Maud Dampérat and Alain Jolibert

The purpose of this paper is to focus on building and testing a model of buyer‐seller relationships from a dialectical perspective. It aims to provide both academics and managers…

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Abstract

Purpose

The purpose of this paper is to focus on building and testing a model of buyer‐seller relationships from a dialectical perspective. It aims to provide both academics and managers with a better understanding of the relationships among the key relational variables in business settings. The model distinguishes four levels of social complexity (individual, interaction, relationship, and intergroup level) and includes the key relational variable for each level.

Design/methodology/approach

Data were collected from 151 French professional buyers. Exploratory and confirmatory factor analysis was used to test the validity of the measures. The hypotheses were tested using structural equation modeling. The empirical test includes linear, non‐linear, moderating, and mediating effects testing.

Research limitations/implications

The limitations of the study relate to the sample of respondents and the measurement scales. More precisely, the sample is based on a unique company's customer data file and a single informant source. Results confirm the hypothesized model and its four‐level structure.

Practical implications

This study demonstrates that buyer relational orientation as well as seller expertise influence the course of business relationships. Although the necessity to train salespeople is obvious, the importance of training buyers is not as well documented. This study shows that they both need to be trained to manage business relationships appropriately.

Originality/value

This research examines the relationships among the key relational variables within a framework of four successive levels of explanation. It provides an alternative approach to studying business relationships.

Details

Journal of Business & Industrial Marketing, vol. 24 no. 3/4
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 9 November 2018

John Andy Wood

This paper aims to empirically examine the proposed framework that incorporates multiple business relational ties as components in a composite that can provide strength to…

Abstract

Purpose

This paper aims to empirically examine the proposed framework that incorporates multiple business relational ties as components in a composite that can provide strength to relationships. Strength is conceptualized as tensile strength or an ability to withstand stress without permanent deformation of the relationship.

Design/methodology/approach

The study uses dyadic survey data collected by mail survey from the organizational buyers and suppliers. Analysis is through moderated multiple regression.

Findings

Results indicate that stressors can disrupt individual components of relationships. However, the overall relationship outcome of behavioral loyalty remains intact with tensile strength coming from other components of the relationship.

Originality/value

This research introduces the concept of tensile strength from the material sciences as relevant to dyadic business relationship strength. The outcomes indicate that looking at multiple components of the business relationship provides greater insight into the tensile strength of business relationships.

Details

Journal of Business & Industrial Marketing, vol. 34 no. 4
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 21 September 2015

Gøril Voldnes and Kjell Grønhaug

The purpose of this paper is to investigate how buyers and sellers in cross-cultural business relationships manage cultural differences to ensure functional, successful business…

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Abstract

Purpose

The purpose of this paper is to investigate how buyers and sellers in cross-cultural business relationships manage cultural differences to ensure functional, successful business relationships. Failure to consider specific cultural issues may lead to the failure of business ventures crossing national borders. To succeed in today’s global business market, it is critically important to understand and manage cultural differences. Adapting to each other’s cultures is one way of managing cultural differences between business actors.

Design/methodology/approach

A qualitative, explorative approach examining both sides of the exchange dyad was adopted to obtain insight into adaptation as perceived by both buyer and seller.

Findings

The results of this study indicate that mainly Norwegian sellers adapt to the Russian culture and way of conducting business. This is explained by power asymmetry between partners, as well as cultural barriers and lack of cultural sensitivity from the Norwegian partners. Still, the business relationships function well.

Practical implications

Knowledge of and applying strategies for managing cultural differences should be helpful for business managers engaged or planning to engage in business ventures with Russia and Norway – especially those doing so for the first time.

Originality/value

The study provides new and important information about West-East business relationships and how to manage cultural differences in cross-cultural business relationships. The study shows that business relationships can function well in spite of the absence of some factors previously found to have detrimental effects on these relationships. In addition, the study investigates both sides of the buyer-seller dyad, which is a limitation in previous studies of adaptation.

Details

International Journal of Emerging Markets, vol. 10 no. 4
Type: Research Article
ISSN: 1746-8809

Keywords

21 – 30 of over 6000