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1 – 10 of over 178000
Article
Publication date: 4 June 2018

Ngoc Luu, Jack Cadeaux and Liem Viet Ngo

The purposes of this study are to examine how contractual and relational governance mechanisms influence total value created in a buyer–supplier relationship and to investigate…

Abstract

Purpose

The purposes of this study are to examine how contractual and relational governance mechanisms influence total value created in a buyer–supplier relationship and to investigate how supplier’s information sharing and information sharing asymmetry between two exchange parties differentially moderate these associations.

Design/methodology/approach

The study is conducted with a sample of 110 buyer–supplier matched dyads in various industries in Vietnam.

Findings

This study confirms that contractual governance and relational governance have curvilinear effects on total relationship value. Governance mechanisms have distinct interactions with supplier’s information sharing and information sharing asymmetry to influence total relationship value.

Research limitations/implications

Future study could expand the sample to various countries to investigate the role of cultural factors in the effects of contractual and relational governance.

Practical implications

This study draws implications for supplying managers about how to govern a relationship with a buying firm with which they are sharing information. It also provides implications about how to use contractual and relational governance to control the effects of supplier’s information sharing and information sharing asymmetry, on total relationship value.

Originality/value

This study extends the information sharing literature by looking into the effect of supplier’s information sharing on both parties’ relationship value. It contributes to the governance literature by investigating curvilinear effects of contractual and relational governance on relationship performance.

Details

Journal of Business & Industrial Marketing, vol. 33 no. 5
Type: Research Article
ISSN: 0885-8624

Keywords

Book part
Publication date: 1 April 2003

Ranjay Gulati and Lihua Olivia Wang

This chapter examines the factors that may influence the total value created in a joint venture (JV) and also the relative value appropriated by each partner in the venture. We…

Abstract

This chapter examines the factors that may influence the total value created in a joint venture (JV) and also the relative value appropriated by each partner in the venture. We look at the effects of both partners’ embeddedness in prior networks of relationships and the asymmetry of business relatedness of two partners with the JV on these two important outcomes. Results of an event study of stock market reaction to JV announcements by the largest U.S. firms during 1987–1996 suggest that both network embeddedness of partners and the asymmetry of business relatedness of two firms with the JV affect the total value creation of all partners but not the relative value appropriation between the partners.

Details

The Governance of Relations in Markets and Organizations
Type: Book
ISBN: 978-1-84950-202-3

Article
Publication date: 8 June 2012

Sriram Dorai and Sanjeev Varshney

Interactions and on‐going relationships are crucial for organizations to create satisfactory value propositions for customers and meet their evolving needs. Understanding the…

1028

Abstract

Purpose

Interactions and on‐going relationships are crucial for organizations to create satisfactory value propositions for customers and meet their evolving needs. Understanding the behavioural and temporal aspects of value creation from a customer's perspective is crucial as customer perceived value (CPV) is dynamic and contextual, and evolves over time. This enables firms to develop value laden offerings and bind customers through interdependent relationships. This paper aims to focus on these issues.

Design/methodology/approach

Extant literature review on CPV and relationship marketing (RM) reveals the behavioural and temporal aspects of relationship building and the role of CPV in generating desirable relationship outcomes.

Findings

A conceptual model explains how components of CPV, episodal value can be transformed into total relationship value mediated by satisfaction, value added services, loyalty, commitment, trust and relationship quality.

Research limitations/implications

The model describes changing customer expectations and how sellers can create value as exchanges mature into relations, but it does not include empirical testing of the model, which would validate the effectiveness of the proposed model.

Practical implications

Meeting customer needs through relation specific investments by suppliers creates value for customers and develops interdependent relationships. Such relationships are long lasting and benefit both parties.

Originality/value

Based on extant literature review and combining emerging paradigms enables theory generation centred on customer's perspective. This not only ensures organization profitability, but also provides higher returns on customer equity.

Details

Journal of Business & Industrial Marketing, vol. 27 no. 5
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 14 January 2021

Fereshte Shabani-Naeeni and R. Ghasemy Yaghin

In the data-driven era, the quality of the data exchanged between suppliers and buyer can enhance the buyer’s ability to appropriately cope with the risks and uncertainties…

Abstract

Purpose

In the data-driven era, the quality of the data exchanged between suppliers and buyer can enhance the buyer’s ability to appropriately cope with the risks and uncertainties associated with raw material purchasing. This paper aims to address the issue of supplier selection and purchasing planning considering the quality of data by benefiting from suppliers’ synergistic effects.

Design/methodology/approach

An approach is proposed to measure data visibility’s total value using a multi-stage algorithm. A multi-objective mathematical optimization model is then developed to determine the optimal integrated purchasing plan in a multi-product setting under risk. The model contemplates three essential objective functions, i.e. maximizing total data quality and quantity level, minimizing purchasing risks and minimizing total costs.

Findings

With emerging competitive areas, in the presence of industry 4.0, internet of things and big data, high data quality can improve the process of supply chain decision-making. This paper supports the managers for the procurement planning of modern organizations under risk and thus provides an in-depth understanding for the enterprises having the readiness for industry 4.0 transformation.

Originality/value

Various data quality attributes are comprehensively subjected to deeper analysis. An applicable procedure is proposed to determine the total value of data quality and quantity required for supplier selection. Besides, a novel multi-objective optimization model is developed to determine the purchasing plan under risk.

Article
Publication date: 21 November 2023

Ming-Chang Huang, Ting-Chuan Lin, Ping-Hsin Lin, Ya-Ping Chiu and Chi-Hung Chung

This study aims to investigate whether higher value creation leads to higher value appropriation and to identify the boundary conditions in a buyer–supplier relationship that can…

Abstract

Purpose

This study aims to investigate whether higher value creation leads to higher value appropriation and to identify the boundary conditions in a buyer–supplier relationship that can explain why a particular supplier can appropriate higher value than others.

Design/methodology/approach

The study uses questionnaire surveys. The sample of the survey has 150 publicly-listed supplier firms in Taiwan. The unit of analysis is the buyer–supplier relationship.

Findings

In the buyer–supplier relationship, suppliers’ bargaining power, partnership and a supplier’s original brand manufacturing (OBM) business can strengthen the positive relationship between value creation and value appropriation.

Research limitations/implications

This study adopts the unilateral viewpoint of suppliers; however, some constructs might require dyadic evaluation. This study only explores the spillover effect of OBM business on the relationship between value creation and appropriation.

Practical implications

The spillover effect of a supplier’s OBM business in a buyer–supplier relationship allows the buyer to share more common benefits and the supplier to capture more private benefits as compensation. By broadening its customer base, a supplier can increase its bargaining power. A supplier can also maintain a strategic partnership with each essential buyer.

Originality/value

To avoid the dark-side effect of partnership, the model provides the contingency that a supplier can capture more value from a buyer–supplier relationship.

Details

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

Keywords

Article
Publication date: 29 July 2014

Priscila L.S. Miguel, Luiz A.L. Brito, Aline R. Fernandes, Fábio V.C.S. Tescari and Guiherme S. Martins

Interfirm relationships create value, but buyers and suppliers can appropriate this value in different amounts. Using the relational-view of strategy, the purpose of this paper is…

1675

Abstract

Purpose

Interfirm relationships create value, but buyers and suppliers can appropriate this value in different amounts. Using the relational-view of strategy, the purpose of this paper is to explain value creation and determine the portion of that value appropriated by each organization.

Design/methodology/approach

The data source was a survey with 166 respondents covering two industries. The authors used confirmatory factor analysis to validate construct measurement and structural equation modeling to test the hypotheses. A parallel qualitative investigation composed of 31 interviews assisted in interpreting the findings.

Findings

Based on the relational view of strategy, the authors found support for only two of the four hypotheses that sought to explain value creation. This result calls into question the applicability of this theory to contexts other than the automotive industry, in which it was developed. Only a joint construct combining Relational Governance and Resource Complementarity had a significant effect on relational value creation. With respect to value appropriation, although both buyers and suppliers captured part of the relational value created, the buyers tended to receive the great majority of this value.

Research limitations/implications

The focussed context of this study (Brazilian companies in the personal care/cosmetics and food/beverage industries) limits its generalizability but provides deeper insight into the interpretation of its results.

Practical implications

Both buyers and suppliers can benefit from collaborative relationships, but buyers appear to capture a larger share, forcing suppliers to continuously seek new sources of value.

Originality/value

This paper bridges the gap between the buyer-supplier literature and the definition of competitive advantage as value creation found in the strategic management literature. This study proposes and tests an integrative definition of the relational value that is created and appropriated in a dyad.

Keywords

Buyer-supplier, Relational-view of strategy, Value creation and appropriation

Paper type

Research paper

Resumen

Objetivo

Objetivo

Las relaciones entre empresas generan valor, pero los compradores y proveedores puede apropiarse de este valor en cantidades diferentes. Usando una perspectiva relacional (relational-view) de la estrategia, este articulo explica la creación de valor y determina la proporción de ese valor asignado por cada organización.

Diseño/metodología/enfoque

Nuestra fuente de datos fue una encuesta con 166 respuestas abarcando dos industrias. Usamos el Análisis Factorial Confirmatorio para validar los factores construidos y modelos de ecuaciones estructurales para evaluar las hipótesis. Una investigación cualitativa paralela compuesta por 31 entrevistas ayudó a interpretar los hallazgos.

Hallazgos

Basados en la perspectiva relacional de la estrategia, encontramos respaldo sólo para dos de las cuatros hipótesis que buscaban explicar la creación del valor. Este resultado invita a preguntar la aplicabilidad de esta teoría a contextos más allá de la industria automotriz, en donde se desarrolló. Solo un factor conjunto que combina la Gobernanza Relacional y Complementariedad de Recursos tuvo un efecto significativo en la Creación De Valor Relacional. En cuanto a la apropiación de valor, aunque ambos compradores y proveedores capturan parte del valor relacional creado, los vendedores tendieron a recibir la gran mayoría de este valor.

Limitaciones/implicaciones del estudio

El contexto en el cual se focalizó este estudio (Empresas Brasileñas de cosméticos y cuidado personal e industrias de comidas/bebidas) limita su generalización pero provee un conocimiento más profundos a la interpretación de sus resultados.

Implicaciones practices

Ambos, compradores y proveedores pueden beneficiarse de una relacion de colaboración, pero los compradores parecen capturar una mayor proporción, forzando a los proveedores a continuamente buscar nuevas fuentes de valor.

Originalidad/valor

Este articulo acerca la brecha entre la literatura del comprador y proveedor y la definición de la ventaja competitiva como creación de valor hallada en la literatura de estrategia de administración. Este estudio propone y prueba una definición integradora del valor relacional que es creado y apropiado en la díada.

Tipo de papel

Trabajo de investigación

Resumo

Objetivo

Objetivo

As relações entre empresas criam valor, mas os compradores e fornecedores podem apropriar-se deste valor em quantidades diferentes. Usando a Visão Relacional da Estratégia, este artigo explica a criação de valor e determina a proporção deste valor apropriado por cada organização.

Desenho/metodologia/enfoque

A base de dados foi uma survey respondida por 166 empresas de dois setores industriais. Foi utilizada uma Análise Fatorial Confirmatória para avaliação dos constructos e Modelagem de Equações Estruturais para teste de hipóteses. Uma pesquisa qualitativa paralela composta de 31 entrevistas ajudou a interpretar os resultados.

Achados

Baseado na Visão Relacional da Estratégia, foram confirmadas apenas duas das quatro hipóteses que buscavam explicar a criação de valor. Este resultado questiona assim a aplicabilidade desta teoria a outros setores que não a indústria automobilística, no qual esta abordagem originalmente foi desenvolvida. Somente um construto resultante da combinação dos construtos de Governança Relacional e de Complementaridade de Recursos teve um efeito significativo na criação de Valor Relacional. Quanto à apropriação de valor, embora compradores e fornecedores capturam parte do valor relacional criado, os compradores tendem a ficar com maior parte deste valor.

Limitações/implicações da pesquisa

O foco desta pesquisa (empresas brasileiras dos setores de alimentos, bebidas e higiene pessoal) limita a sua generalização, embora forneça um conhecimento mais profundo à interpretação dos resultados.

Implicações práticas

Tanto compradores e fornecedores podem se beneficiar de uma relação de colaboração, mas os compradores parecem capturar uma maior proporção forçando os fornecedores a continuamente buscar novas fontes de valor.

Originalidade/valor

Este artigo preenche uma lacuna na literatura de comprador-fornecedor e a definição da vantagem competitiva como resultado do valor. Esta pesquisa se propõe a testar uma definição integrada do valor relacional criado e apropriado dentro de uma díade.

Tipo de papel

Trabalhos de pesquisa

Details

International Journal of Physical Distribution & Logistics Management, vol. 44 no. 7
Type: Research Article
ISSN: 0960-0035

Article
Publication date: 13 February 2009

Bruce Douglas Pinnington and Thomas J. Scanlon

The increasing importance of business‐to‐business (b2b) relationships, contrasted against a background of continued and seemingly high levels of dissatisfaction, suggests that new…

1760

Abstract

Purpose

The increasing importance of business‐to‐business (b2b) relationships, contrasted against a background of continued and seemingly high levels of dissatisfaction, suggests that new insights are needed into the management of these relationships. In particular this research aims to explore the role of social power to better understand how it affects the outcome of major service sector relationships.

Design/methodology/approach

A grounded theory approach was adopted based on interviews with senior relationship managers. Relationships were explored from buyer and supplier perspectives, for successful and unsuccessful cases, and across different negotiation power‐regimes.

Findings

The overriding importance of business value is highlighted. In the context of these strategic service relationships, the research suggests that a number of power related factors account for how relationships either develop progressively, or enter a spiral of relationship‐adverse behaviours, value destruction, trust erosion and decline. A substantive theory on socially empowered collective‐value is developed.

Originality/value

A new two‐dimensional model of relationship value is presented in which the effects of different perspectives on power are considered for their impact on value.

Details

European Journal of Marketing, vol. 43 no. 1/2
Type: Research Article
ISSN: 0309-0566

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: 12 January 2024

Daniela Corsaro and Grazia Murtarelli

Scholars have affirmed that a conceptualization of value co-creation in business relationships should reflect the nature and characteristics of interactional processes that occur…

Abstract

Purpose

Scholars have affirmed that a conceptualization of value co-creation in business relationships should reflect the nature and characteristics of interactional processes that occur in use. The advent of sales and marketing technologies, however, is changing the nature and dynamics of interactions. New trends in digitalization have played a significant role in emphasizing and facilitating the occurrence of business-to- business (B2B) collaborative or sharing economy. The B2B sharing economy and value co-creation are closely intertwined, as businesses harness the power of shared resources and collaboration to generate value in diverse ways. This study highlights the importance of going beyond value co-creation in studying B2B collaborative economy, unpacking the interconnected value processes that influence value co-creation. It also aims at showing the activities that characterize multiple joint value spheres among actors.

Design/methodology/approach

The study consists of 49 qualitative interviews with managers operating in different industries.

Findings

The paper shows that when considering digital B2B contexts, five joint value spheres in business relationships should be considered: a value co-creation, a value appropriation, a value communication, a value measurement and a value representation sphere. Each one is characterized by specific activities that are relevant from a managerial point of view.

Originality/value

This study highlights that value co-creation has often been over stressed when discussing business interactions, also with the advent of new technologies. Rather, this study offers a more comprehensive view of value co-creation that includes different value processes occurring in joint value spheres. These further processes are relevant because failure and success in business relationships within the B2B sharing economy are often dependent from activities outside the value co-creation process, which strongly affect it. Such knowledge will also open up new research venues and opportunities to better contribute to the practice of value management in business relationships.

Details

Management Decision, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0025-1747

Keywords

Open Access
Article
Publication date: 16 February 2021

Ari Alamäki and Pentti Korpela

This study aimed to examine the digital transformation of business-to-business (B2B) sales and its effects on the management of value-based selling.

11383

Abstract

Purpose

This study aimed to examine the digital transformation of business-to-business (B2B) sales and its effects on the management of value-based selling.

Design/methodology/approach

The study adopted a qualitative interview research design. A total of two participant groups—one consisting of sales management professionals and the other consisting of buyers—were created to conduct abductive data analysis to gain a new understanding of B2B sales management.

Findings

As a result of the digital transformation of sales, companies are shifting B2B sales towards value-based selling using a more proactive, continuous process wherein digital value co-creation activities play a big role. Similarly, their buyers now expect more proactive communication about new value propositions, but social media channels are of little importance to most B2B buyers. The management of digital value co-creation activities should be addressed from the sales ecosystem perspective, where non-sellers tend to have a strong role in communicating new value propositions.

Research limitations/implications

There needs to be further research on digital value co-creation activities in the sales ecosystem, as value-based selling requires that selling organizations focus more on educational digital content marketing and engagement with non-sellers via both marketing and sales activities.

Practical implications

Companies rarely exploit experts and project personnel when implementing digital sales strategies; however, they often meet with customers personally and network with them. This requires a broader perspective on sales management.

Originality/value

This is one of the first studies to explore the management of value-based selling from both seller and buyer perspectives.

Details

Baltic Journal of Management, vol. 16 no. 2
Type: Research Article
ISSN: 1746-5265

Keywords

1 – 10 of over 178000