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This study aims to investigate the effect of commitment and trust on satisfaction and sequential effect of satisfaction on relational outcomes (i.e. performance and governance cost) in a manufacturer–supplier relationship. Authors of this paper explore the relationship quality parameters such as trust, commitment and satisfaction and its effect on improving the performance and reducing the governance cost between the partners, as well as the effect of relationship duration on the antecedents and relational outcomes.

Based on the conceptual framework developed by authors, hypotheses were formulated, to test the effect of trust and commitment to performance and governance cost through the mediating effect of satisfaction in the manufacturer–supplier relationship. Data were collected from 196 manufacturers from the western part of India, through a structured questionnaire, and collected quantitative data were analyzed through structural equation modeling.

The analysis of the sample of 196 manufacturers suggests a positive relationship between satisfaction and commitment and between satisfaction and trust. The study suggests that increased satisfaction lowers governance cost as well as suggests a positive relationship between satisfaction and performance in a manufacturer–supplier relationship. As a relationship grows in an early stage, relationship performance improves, and as the relationship matures, the relationship performance diminishes.

Findings suggest that managers in business and industrial markets shall focus on commitment in the relationship rather than just trust that leads to satisfaction. It also suggests that a higher level of satisfaction enhances the performance and reduces the governance cost in a manufacturer–supplier relationship.

This research makes four contributions: first, it enquires the direct impact of trust and commitment to a manufacturer’s satisfaction; second, it investigates the indirect impact of trust on a manufacturer’s satisfaction through commitment in the relationship; third, it investigates the mediating satisfaction between trust-commitment and relationship outcomes (relationship performance and governance cost); fourth, the research shows the impact of relationship duration regarding the relational outcomes and the dimensions of relationship quality into a short-term and long-term relationship. It also uniquely suggests that the presence of commitment has a catalytic effect on satisfaction. Research offers managerial implication to increase the performance and to reduce the governance cost in the relationship.

The purpose of this paper is to explore the role of the manufacturer-supplier relationship in service performance within service triads.

An abductive case-research approach was adopted, using three embedded cases and 26 interviews in complex, multilevel manufacturer-supplier relationships within the same service network. Cannon and Perreault’s (1999) multidimensional relationship framework was deployed to achieve granular and nuanced insight.

This study corroborates the idea that relational relationships within service triads and servitization improve performance. The role of each relationship dimension in service performance is discerned and their interplay is captured in an analytic model. Information exchange, supplier relationship-specific adaptations, and the degree of formalization of the relationship directly influence performance, while cooperative norms and operational linkages are further back in the causal ordering. The study also highlights the importance of contingent factors (the size of the service site, the proportion of its revenues coming from service contract activities) and how they affect the relationship dimensions.

The work was conducted in one network and the findings were generalized to theory rather than additional empirical settings.

This study is the first to derive a contextualized causal ordering of the Cannon and Perreault (1999) framework of relationship connectors and link it with service performance.

The purpose of this paper is to provide practitioners of management and information technology a sense of how the automobile industry uses the internet to market its products.

A review of the applied literature on practices and actual examples of companies' practices (obtained through personal interviews and basic empirical analysis of managers located in Pittsburgh, PA) was conducted. An analysis of data derived from web‐enabled and highly educated professionals from the metropolitan area of Pittsburgh, PA, resulted in 60 interviews from an initial sample of over 155 professionals from three area firms. Techniques reviewed include online advertising, data mining from web sites, other conventional advertising of the company web site and positioning their vehicles among the various search engines.

The statistical findings lead to the general conclusion that people are using the internet with greater regularity to gain information about vehicle purchases. However, the vast majority of those surveyed still preferred to ultimately complete the purchase in person.

The findings show that while dealers are forced to be more competitive in terms of financing and pricing, dealerships are not in danger of being cut from the vehicle purchase model, at least not in the short‐term.

The internet has proven to be an invaluable tool for consumers who are either considering the purchase of a new car or actually in the process of doing so. In today's market, automotive manufacturers must have a significant market presence to compete and, in many cases, just to survive in a business environment where several of the major automotive manufacturers must find new markets overseas.

This research widens the scope of the use of postponement by addressing how the generic supply chain structure and information sharing/relationship among supply chain actors affects the postponement decision, based on empirical data of Chinese manufacturers in the Pearl River Delta.

Case analysis, cross‐case comparisons, semi‐structured interviews.

A cross‐case analysis including study of the downstream structure, downstream relationship, upstream structure, upstream relationship, production method and inventory position produced a postponement classification into five categories: balanced structure without customer information; customer dominated; manufacturer dominated; balanced structure with loose suppliers, and finally virtual supply chain. Based on this classification, two propositions are postulated: when a supply chain has a balanced structure, it should use speculation or production postponement. When the supply chain has an unbalanced structure, it should use purchasing postponement or product development postponement.

This study is exploratory in nature, and more empirical data is needed to further validate the postulated results. Another limitation of the study is in its measurement of postponement, measured in this instance by the production method and inventory positions used. Other characteristics of postponement may be included in future research.

This research has extended the scope of the use of postponement by addressing how the generic supply chain structure and information sharing/relationship among supply chain actors affects the postponement decision.

Addresses postponement on the level of the supply chain, rather than company‐level. Addresses how the supply chain structure (balanced/unbalanced) and information sharing/relationship among supply chain actors affect the postponement decision.

Struggling economies provide an interesting venue for international management researchers to build and test theory. Struggling economies are characterized by conflict and confrontation between established forces trying to impose conformity and emerging forces seeking variety. Economies once healthy, but in sustained recession, are also fertile sites for exploring the conflict between problem-solving based on traditionally, but no longer, successful strategies and new solutions brought in from outside. Struggling economies also present opportunities for examining the interaction between people and structures, where established relationships are open to question. This volume explores change in one struggling economy – Japan. In doing so, it seeks to draw from the experience of Japanese companies in extending international management theory beyond the boundaries of that one country.

This study aims to investigate the entrance of Chinese-based Alipay’s mobile-payment (m-payment) technology into Malaysia. Malaysia allowed this entry of the first foreign m-payment company because it would allow Chinese tourists spending while they are visiting Malaysia. It will view this entrance from a Malaysian perspective.

The views of Malaysian players (Bank Negara Malaysia officers, three Malaysian banks’ officers, Alipay-Malaysia officers, airport section manager, convenience store manager and airport store sales executive) were sought via qualitative interview concerning Alipay’s entry into the Malaysian market. Respondents who had relevant knowledge and/or were involved in Alipay m-payment technology development in Malaysia were contacted, while there remainder were obtained by snowballing. Secondary data was collected from Bank Negara Malaysia’s policy, three Malaysian banks’ reports, the Alipay-Malaysia public statements and the Airport and Convenience Store reports. Triangulation using primary and secondary data was used to safeguard the validity and reliability of the outcomes.

The entry strategy used by Alipay was different from those reported in previous studies. The establishment of Alipay-Malaysia was the first element of the “mode of entry” gaining pioneer status in Malaysia. The next stage was gaining support from Bank Negara Malaysia-Malaysian Central Bank and three Malaysian banks (Maybank, Public Bank and CIMB) through collaborative ventures with Alipay-Malaysia Sdn. Bhd., leading to acceptance nationwide by local merchants. The key driver of acceptance being Chinese outbound tourists in Malaysia.

This case study was conducted during the early implementation of Alipay in Malaysia from 2015 until April 2019. During this period, there were challenges due to the lack of primary data. These were overcome by the support from the respondents and the secondary data.

This study contributes to insights from a different entry strategy that used tourism as a leading force. This can give guidance to other m-payment service providers or other countries as m-payment technology recipient about “market entry strategy” and “modes of entry” following Alipay’s approach.

To date, no study has been conducted to investigate the nature of Alipay m-payment in Malaysia. This qualitative study has examined the new phenomenon regarding how Alipay entered the Malaysian market. Moreover, this study can also contribute new insights into the existing theory of “market entry strategy” in terms of Alipay’s tourist-based approach.

The purpose of this paper is to analyze the nature and the evolution of manufacturer–supplier relationships in Thailand's automobile industry and to identify the factors that influence the evolution of these relationships.

The study is based on case research method involving in‐depth interviews with 120 local and expatriates of 7 companies and their 14 suppliers.

In Thailand, the manufacturer–supplier relationship starts out as a market‐exchange‐type relationship, and then gradually moves to a partnering type. The stages in evolution involve constant efforts on the part of foreign manufacturers to develop the suppliers by offering resources, training, feedback and solutions. The supplier capability building programs, bridging of cultural differences and formation of trust provides the basis for enduring partnerships. These partnerships are symbiotic relationships in which manufacturers benefit from suppliers' knowledge of local production and market factors and suppliers benefit from manufacturer's technical and managerial support. Additionally, closer collaboration with suppliers helps to prevent the leakage of business intelligence and theft of intellectual property and to prevent suppliers from working with competitors, thus allowing manufacturers to devote undivided attention to smooth supply of parts without any shortage.

In emerging markets, the local suppliers play key role in the success of foreign automobile companies. However, the local suppliers need technical and managerial support from manufacturers. The process of building a network of competent local suppliers consumes time and resources, therefore manufacturers should take a long‐term view of the market. The undeniable importance of overcoming cultural differences and building trust is the hallmark of successful partnerships.

The paper highlights the importance and process of developing local suppliers in emerging markets using Thai automobile industry as an example.

A successful relationship between manufacturer and supplier is vital for the pursuit of mutual benefits, which can be affected by one of the partners’ opportunistic behavior, causing disequilibrium in the existing relationship. The extant research has mainly focused on opportunism as a single phenomenon rather than the detectable strong form and unnoticeable weak form of opportunistic behavior in an exchange relationship that affects the relational outcomes in various ways. This study aims to contribute toward explaining the effect of economic and social forces on a strong and a weak form of opportunism and, in turn, its impact on relational outcomes in manufacturer-supplier relationships.

A sample of 361 manufacturers was drawn randomly using a sampling frame from the western part of India. The authors used covariance-based structural equation modeling to support the proposed model empirically. The authors examined the effect of social capital and transaction cost dimensions on different forms of a supplier’s opportunism.

All three dimensions of social capital have a different impact on both the forms of a supplier’s opportunism in the relationship. The authors found that social capital moderates the relationship between transaction-specific investments on a weak form of opportunism, while social capital is more valuable in curbing opportunism due to the effect of environmental uncertainty and behavioral uncertainty. The authors found that the supplier’s weak form of opportunism than the strong form has a more amplifying effect on governance costs.

This research contributes in three different ways. First, it inquires about the direct effect of transaction cost dimensions and social capital dimensions on a supplier’s multifaceted opportunism (strong form and weak form) in the manufacturer-supplier relationship. Second, it investigates the moderating effect of social capital on the relationship between transaction cost dimensions and forms of supplier opportunism. Third, the weak form of a supplier’s opportunism affects more significantly than the strong form of opportunism on governance costs.

Manufacturer price reduction pressure on suppliers is an important contributor to helping a manufacturer maintain a strong competitive position by keeping costs low. The benefits of trusting supplier working relations also help strengthen a manufacturer's competitive position. The purpose of this paper is to determine if manufacturer price reduction pressure and trusting working relations with the pressured suppliers, typically considered to be mutually exclusive, can co‐exist.

A structural equation modeling approach was used to analyze data covering 946 production buying situations involving 279 suppliers and six NA automotive OEMs.

Manufacturer price reduction pressure and trusting working relations with the pressured suppliers, are not mutually exclusive, they can co‐exist.

The research found that it is not the pressure that impacts the manufacturer – supplier relations, but rather it is the manner by which the manufacturer goes about pressuring its suppliers that impacts its supplier working relations. The research, however, does not directly address how a manufacturer can achieve both ends simultaneously.

Manufacturers no longer have to choose between exerting price reduction pressures on suppliers or working to achieve trusting relations with suppliers. They can successfully do both. At the same time, suppliers must recognize that these conditions may occur and when applied simultaneously ultimately benefit both parties.

This research adds to the critically under‐researched B2B pricing processes and pricing impact areas, while helping to influence managerial actions, an area in which academic B2B research is considered to be lacking.

The purpose of this paper is to test a research model in which trust and commitment are mediators between economic and non-economic satisfaction.

The sample for this study comprises a total of 600 small and medium-sized Spanish enterprises from various industrial sectors. A total of 259 usable questionnaires were returned, generating a response rate of 43.2 per cent. The research model is tested with structural equation modeling using AMOS-software.

The empirical findings regarding the studied business relationships confirm the independence between economic and non-economic satisfaction, and the mediating role of trust and commitment. Furthermore, the findings confirm that there is no direct cause–effect relationship between economic and non-economic satisfaction.

Numerous inter-organizational studies have tested satisfaction as two separate constructs (economic and non-economic satisfaction). This study goes further by positioning economic satisfaction as a precursor to other more relationship-oriented constructs and outcomes (trust–commitment and, in turn, non-economic or relational satisfaction).

Managers should consider economic and non-economic satisfaction as two separate aspects of relationship quality in business relationships. Furthermore, although these aspects appear to be connected, managers should take them into consideration with respect to the levels of trust and commitment involved in business relationships. Managers should be aware that the level of economic satisfaction is an influential precursor to the levels of trust and commitment that in turn impact on the level of non-economic satisfaction as an outcome.

This study makes a threefold contribution to existing theory and research. First, it tests the constructs of economic and non-economic satisfaction, indicating satisfactory validity and reliability. Second, it provides empirical support that there is no direct relationship between economic and non-economic satisfaction. Third, the empirical findings also indicate satisfactory validity and reliability, indicating that the constructs of trust and commitment are moderators between economic and non-economic satisfaction.