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THE IMPACT OF POWER AND RELATIONSHIP QUALITY ON VALUE CREATION AND APPROPRIATION IN BUYER-SUPPLIER RELATIONSHIPS: THE CASE OF MOROCCAN COMPANIES

Year 2019, Volume: 6 Issue: 3, 175 - 196, 30.09.2019
https://doi.org/10.17261/Pressacademia.2019.1130

Abstract

Purpose- This study aims to examine the influence of relationship quality and power on value creation and appropriation and ultimately, on satisfaction and relationship continuity. Based on the theory of social exchange, this study proposes a conceptual model, which positions value creation and appropriation as central variables in the nomological network of business relationships.

Methodology- A quantitative study of 174 suppliers was carried out in order to compare the theoretical model with the empirical reality.

Findings- The results obtained show that the relationship quality promotes greater value creation and appropriation in ongoing business relationships. As for power, its influence differs depending on how it is exercised within the relationship. Moreover, the appropriation of value remains the main driver of partner satisfaction, a sine qua non condition for the continuity of the relationship.

Conclusion- This research contributes to a better understanding of value creation-appropriation in ongoing business relationships. By strategically managing their customer-supplier relationships, managers can create and capture greater value and gain a competitive advantage.

References

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Year 2019, Volume: 6 Issue: 3, 175 - 196, 30.09.2019
https://doi.org/10.17261/Pressacademia.2019.1130

Abstract

References

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  • Alejandro, T. B., Souza, D. V., Boles, J. S., Ribeiro, Á. H. P., and Monteiro, P. R. R. (2011). The outcome of company and account manager relationship quality on loyalty, relationship value and performance. Industrial Marketing Management, 40(1), 36–43. https://doi.org/10.1016/j.indmarman.2010.09.008
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  • Arend, R. J., Wisner, J. D., Arnett, D. B., and Badrinarayanan, V. (2005). Enhancing customer-needs–driven crm strategies: Core selling teams, knowledge management competence, and relationship marketing competence. Elsevier (Vol. 20). https://doi.org/10.1080/08853134.2005.10749068
  • Athanasopoulou, P. (2009). Relationship quality a critical literature review.
  • Athanassopoulou, P. (2006). Determining relationship quality in the development of business-to-business financial services. Journal of Business-to-Business Marketing, 13(1), 87–120. https://doi.org/10.1300/J033v13n01
  • Bandara, S., Leckie, C., Lobo, A., and Hewege, C. (2017). Power and relationship quality in supply chains. Asia Pacific Journal of Marketing and Logistics, 29(3), 501–518. https://doi.org/10.1108/APJML-09-2016-0165
  • Becker, J., Klein, K., and Wetzels, M. (2012). Hierarchical Latent Variable Models in PLS-SEM : Guidelines for Using Reflective-Formative Type Models. Long Range Planning, 45(5–6), 359–394. https://doi.org/10.1016/j.lrp.2012.10.001
  • Belaya, V., and Hanf, J. H. (2009). The two sides of power in business-to-business relationships: implications for supply chain management. The Marketing Review, 9(4), 361–381. https://doi.org/10.1362/146934709X479926
  • Benton, W. C., and Maloni, M. (2005). The influence of power driven buyer/seller relationships on supply chain satisfaction. Journal of Operations Management, 23(1), 1–22. https://doi.org/10.1016/j.jom.2004.09.002
  • Billitteri, C., Nigro, G. Lo, and Perrone, G. (2013). How risk influences the choice of governance mode in biopharmaceutical inter-firm relationships. International Business Review, 22(6), 932–950. https://doi.org/10.1016/j.ibusrev.2013.01.011
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  • Brito, R. P., and Miguel, P. L. S. (2016). Power, Governance, and Value in Collaboration: Differences between Buyer and Supplier Perspectives. International Journal of Laboratory Hematology, 38(1), 42–49. https://doi.org/10.1111/ijlh.12426
  • Carson, S. J., Devinney, T. M., Dowling, G. R., and John, G. (1999). Understanding Institutional Designs within Marketing Value Systems. Journal of Marketing, 63(4_suppl1), 115–130. https://doi.org/10.1177/00222429990634s112
  • Chadwick-Jones, J. (1976). Social exchange theory: Its structure and influence in social psychology.
  • Chancerel, J.-L. (1988). Théorie de la mesure et objets. Espace Géographique, 17(3), 218–231. https://doi.org/10.3406/spgeo.1988.2780
  • Chandon, J.-L. (2007). Théorie de la mesure et construction d ’ échelles. Recherche.
  • Chen, P.-Y., Chen, K.-Y., and Wu, L.-Y. (2017). The impact of trust and commitment on value creation in asymmetric buyer–seller relationships: the mediation effect of specific asset investments. Journal of Business and Industrial Marketing, 32(3), 457–471. https://doi.org/10.1108/JBIM-09-2014-0171
  • Cherni, M., and Leroux, V. (2015). Dynamique relationnelle et impact sur la création- appropriation de la valeur dans les partenariats client- fournisseur Dynamique relationnelle et impact sur la création- appropriation de la valeur dans les partenariats client- fournisseur, 1–25.
  • Chicksand, D., and Rehme, J. (2018). Total value in business relationships: exploring the link between power and value appropriation. Journal of Business and Industrial Marketing, 33(2), 174–182. https://doi.org/10.1108/JBIM-05-2016-0100
  • Coff, R. W. (1999). When Competitive Advantage Doesn’t Lead to Performance: The Resource-Based View and Stakeholder Bargaining Power. Organization Science, 10(2), 119–133. https://doi.org/10.1287/orsc.10.2.119
  • Cox, A., Watson, G., Lonsdale, C., and Sanderson, J. (2004). Managing appropriately in power regimes : Relationship and performance management in 12 supply chain cases Supply Chain Management : An International Journal cases Article information :, (January 2015). https://doi.org/10.1108/13598540410560748
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Details

Primary Language English
Subjects Business Administration
Journal Section Articles
Authors

Mdarhri Alaoui Saad This is me 0000-0002-2119-7784

Amine Noureddine This is me 0000-0002-8045-8374

Publication Date September 30, 2019
Published in Issue Year 2019 Volume: 6 Issue: 3

Cite

APA Saad, M. A., & Noureddine, A. (2019). THE IMPACT OF POWER AND RELATIONSHIP QUALITY ON VALUE CREATION AND APPROPRIATION IN BUYER-SUPPLIER RELATIONSHIPS: THE CASE OF MOROCCAN COMPANIES. Journal of Management Marketing and Logistics, 6(3), 175-196. https://doi.org/10.17261/Pressacademia.2019.1130

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