Journal of Business and Management

Journal of Business and Management

ISSN: 2291-1995 (Print)    ISSN: 2291-2002 (Online)

Volume 4 (2015), No. 4, Pages 1-21

DOI: 10.12735/jbm.v4i4p01

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Buyers’ Perspective of Buyer-Supplier Relationship Development: Interaction of Key Variables

Faiza Khoja1  Jeffery Adams1  Ralph Kauffman1 

1College of business, University of Houston-Downtown, Houston, Texas, USA

URL: http://dx.doi.org/10.12735/jbm.v4i4p01

To Cite this Article     Article Views: 486     Downloads: 399  Since deposited on 2015-11-20

Abstract

In this paper, we propose and test a three-stage model. A relationship begins at the Pre-Deal Stage (t-1), where, Buyer and Supplier Power are likely to impact Input Commitment. The relationship moves on to the Deal Enactment Stage (t), where the Input Commitment is likely to foster Low Relational Embeddedness. This, in turn, develops Contractual Trust that leads to a business deal and Attitudinal Commitment. Depending on requirements and mutual satisfaction, the relationship may then move to the Continuation Stage (t+1), where the developed Attitudinal Commitment enhances High Relational Embeddedness. From this comes Competence-based Trust and Temporal Commitment. Temporal Commitment and High Relational Embeddedness is likely to further produce Goodwill Trust and improved Overall Performance. This research study extends existing literature by empirically testing a cohesive model, which explains the different, multidimensional roles relational constructs can play in a relationship, and how these relationships evolve over time.

JEL Classifications: D23, L11, L22

Keywords: buyer-supplier relationships, relationship development, relationship stages

To Cite this Article: Khoja, F., Adams, J., & Kauffman, R. (2015). Buyers’ perspective of buyer-supplier relationship development: Interaction of key variables. Journal of Business and Management, 4(4), 1-21. http://dx.doi.org/10.12735/jbm.v4i4p01

Copyright © Faiza Khoja et al.

Creative Commons License
This article is published under license to Science and Education Centre of North America. This is an Open Access article distributed under the terms of the Creative Commons Attribution 4.0 International License.

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Buyers’ Perspective of Buyer-Supplier Relationship Development: Interaction of Key Variables
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