Favor reciprocity, innovation and inefficiency: the double-edged sword of business-to-business wasta relations
Journal of Business & Industrial Marketing
ISSN: 0885-8624
Article publication date: 10 August 2022
Issue publication date: 21 March 2023
Abstract
Purpose
The purpose of this study is to empirically investigate the dark side of business-to-business (B2B) relationships in traditional business practices worldwide that rely on strong networks.
Design/methodology/approach
This study applies a questionnaire survey to collect data from buyers in 224 Kuwaiti firms and uses the partial least squares structural equation model for data analysis.
Findings
Drawing on the social exchange theory, we test the relationships between B2B wasta, relationship satisfaction, innovation and efficiency. The findings show that despite the belief that wasta brings long-term benefits when applied in B2B relationships, it negatively impacts the firm’s efficiency.
Originality/value
This study contributes to the existing literature on B2B relationships by identifying important issues related to the multifaceted nature of B2B wasta relationships. The study confirms the importance of relational and innovation benefits over economic consequences based on elements of social exchange theory, which extends our current understanding of the application of SET in B2B wasta relationships.
Keywords
Acknowledgements
The authors would like to express their sincere gratitude to Professor Wesley J. Johnston, editor of the Journal of Business & Industrial Marketing for his kind and constructive guidance, as well as the anonymous reviewers for their insightful comments that helped improve this paper.
Citation
AlHussainan, O., Guo, Y., Rammal, H.G., Tang, R.W. and Golgeci, I. (2023), "Favor reciprocity, innovation and inefficiency: the double-edged sword of business-to-business
Publisher
:Emerald Publishing Limited
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