Gary L. Frazier and Sudhir H. Kale
The differences that exist in manufacturer – distributorrelationships across diverse markets and countries have been largelyignored in the marketing channels literature. A…
Abstract
The differences that exist in manufacturer – distributor relationships across diverse markets and countries have been largely ignored in the marketing channels literature. A conceptual framework is built designed to explain how the initiation, implementation, and review of manufacturer – distributor relationships are likely to vary, based on whether such relationships take place in buyers′ markets in developed countries or in sellers′ markets in developing countries. Several cultural and structural dimensions of markets in developing countries also play an important role in the conceptual framework. A comparative channel systems approach is taken and a number of propositions are developed that require empirical testing in the future.
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Brenda Sternquist, Carol A. Finnegan and Zhengyi Chen
China’s economy is transforming at a brisk pace. A partially dismantled command economy and introduction of competition have fueled consumer demand for a greater selection of…
Abstract
China’s economy is transforming at a brisk pace. A partially dismantled command economy and introduction of competition have fueled consumer demand for a greater selection of innovative new products in the retail market. The challenge for retail buyers is to adjust their procurement processes to respond to consumer needs in an efficient and effective manner. This study examines factors influencing buyer‐supplier relationships in a transition economy. We present a model to explain the factors driving retail buyer dependence on suppliers. We find that retailer evaluation of supplier credibility mediates the relationship between retailer perceptions of a supplier ability to add value to its business and the ability to achieve its desired goals. In part, this is due to the supplier’s market orientation. Interestingly, guanxi ties have no impact on the retailer perceptions of the supplier credibility, but have a positive affect on retailer dependence on its supplier partners.
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Keysuk Kim and Gary L. Frazier
The channels literature lacks a classification scheme for channel systems which can provide insights to their development and management. Consideration of the channel context is…
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The channels literature lacks a classification scheme for channel systems which can provide insights to their development and management. Consideration of the channel context is essential in marketing products or services in foreign markets. Develops a new taxonomy of channel systems based on three channel contextual factors ‐ environmental uncertainty, value‐added in the downstream channel, and replaceability of suppliers ‐ and discusses each cell in terms of the level of interfirm commitment. The new taxonomy shows that the behavioural process varies with the channel context and high commitment between channel members is appropriate only in certain channel contexts.
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Dinesh Sharma, B.S. Sahay and Amit Sachan
Previous research in the area of distributor performance proposed different scales, mostly in western, developed country context. These studies also lacked the consideration of…
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Previous research in the area of distributor performance proposed different scales, mostly in western, developed country context. These studies also lacked the consideration of dynamic interaction between variables, which determine the distributor’s performance. This paper proposes a composite Distributor Performance Index (DPI) to evaluate distributors’ performance based on at the “Enables” and “Results”, taking a system dynamics approach. The model results have been discussed and validated, in business marketing channel. The context of this study is India, an emerging market.
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This study empirically explores one of the important channel issues – the relationship between various channel support given to channel partners and the perceived (by managers…
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This study empirically explores one of the important channel issues – the relationship between various channel support given to channel partners and the perceived (by managers) goal‐orientation of a firm. Results from an emerging market, India, indicate that perceived orientation towards both profitability and market share is not associated with any of the channel support considered. Growth orientation however is strongly associated with most of the channel support activities – both business (e.g., business advice, pricing and ordering assistance, and personnel training) as well as marketing (advertising support, sales promotional material, and inventory management assistance) oriented activities. In contrast, perceived sales volume orientation is only associated with advertising support and business advice, however, the relationship is negative. These findings have interesting implications for channel management and channel motivation.
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Pierre Barthon and Brian Jepsen
There has been a steady increase in the amount of research and theorising in the area of interorganisational research, especially with regard to buyer‐seller arrangements in…
Abstract
There has been a steady increase in the amount of research and theorising in the area of interorganisational research, especially with regard to buyer‐seller arrangements in marketing channels (Andersen and Narus 1990, Bergen et.al., 1992, Boyle et.al., 1992). Alternative interorganisational governance models, such as joint ventures, strategic alliances, and sole‐sourcing are the reality of modern business management (Borys and Jemison 1989, Buckley and Casson 1988), and so interfirm governance has become a strategic management issue. The much‐cited work of Porter (1985, 1991) has focused on the optimal linkage of interfirm activities, and regards the planning and governance of interfirm relations as an important competitive strategic issue, a point reiterated by Heide (1994). The issue of channel relationships has been one of concern for both practitioners and academics, and theories such as those of transaction cost analysis (TCA), agency theory, and relational norms have on the one hand shed much light on the problems, and on the other provided a fruitful backdrop to much empirical research. Less attention has been given to the effects of time on these notions, both in the literature and in empirical research. In this article we provide an overview of the theories, and attempt an integration. The purpose of this article is to focus on transaction cost economics (TCE) and relational exchange theory to provide an overview of the areas of interorganisational research where relationships play a role. A number of areas where the theories diverge and converge are outlined. More importantly, we endeavour to bring the effects of time into consideration, and to develop propositions for further research.
Considers the shift of marketing functions from the perspective ofthe wholesaler rather than from the traditional point of view of themanufacturer or retailer. Examines the…
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Considers the shift of marketing functions from the perspective of the wholesaler rather than from the traditional point of view of the manufacturer or retailer. Examines the vertical integration of marketing functions by manufacturers and the use of synergistic strategies which could cause a reallocation of marketing functions among wholesalers and manufacturers. Discusses the potential new roles of the small industrial distributor in an ever‐changing marketing environment characterized by functional shiftability.
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Mrs Genevieve N. Bond‐Mendel and Antonis C. Simintiras
This paper studies the role of personal selling and the salesforce as an information source and the impact potential information gaps in a downstream business chain can have. It…
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This paper studies the role of personal selling and the salesforce as an information source and the impact potential information gaps in a downstream business chain can have. It offers a conceptual model of information gaps in an on‐licence wine business channel and suggests areas necessitating further research.