Timothy G. Hawkins, Yavuz Idug, Ferhat Caliskan, Suman Niranjan and Michael J. Gravier
The purpose of this study is to investigate buyer actions during source selection that impact the buyer’s reputation.
Abstract
Purpose
The purpose of this study is to investigate buyer actions during source selection that impact the buyer’s reputation.
Design/methodology/approach
This study uses survey data of 211 suppliers to empirically test the effects of US Government buyers’ actions on their reputation during source selection.
Findings
Suspicion of buyer opportunism diminishes buyer reputation, while debriefing quality positively influences buyer reputation. However, oral presentations, negotiations, the full trade-off source selection method and providing a redacted source selection decision document show no significant association with buyer reputation. In turn, buyer reputation decreases a supplier’s intent to protest the award.
Practical implications
This study underscores the importance of ethical conduct during source selection, emphasizing the detrimental impact of opportunistic behavior on a buyer’s reputation, while also advocating for comprehensive feedback to suppliers and the need for holistic, transparent sourcing procedures.
Originality/value
This study contributes to business-to-business marketing literature by addressing the gap in understanding buyer reputation, highlighting the impact of buyer actions on reputation during source selection. This study develops a framework grounded in signaling theory that incorporates feedback and finds that it may have a multiplicative effect that forms a separating equilibrium.