Robert C. Fink, William L. James, Kenneth J. Hatten and Lynn Bakstran
The purpose of this research is to understand factors related to increased customer purchases from suppliers during different stages of the customer‐supplier relationship.
Abstract
Purpose
The purpose of this research is to understand factors related to increased customer purchases from suppliers during different stages of the customer‐supplier relationship.
Design/methodology/approach
A survey of 372 professionals in the paper industry was conducted to investigate how customer performance outcomes, supplier quality and delivery performance, the presence of relational norms and customer perspectives of environmental uncertainty vary in their influence on increasing customer purchases over time.
Findings
The results indicate the variables influencing increased customer purchases vary over the duration of the customer‐supplier relationship. It is also shown how the variables influencing increased customer purchases from suppliers are different from the variables leading to increased customer commitment to suppliers over time.
Research limitations/implications
Data were collected from the customer perspective only and involved the exchange of one type of product. Similar studies need to be conducted in other industries involving other types of product exchanges that capture both customer and supplier perspectives to verify these findings.
Practical implications
Supplier sales and marketing managers need to understand the factors related to increased customer purchases and how they change over time to create appropriate sales and marketing strategies for different stages of their customer relationships.
Originality/value
One of the most important sales and marketing objectives is to increase customer purchases; however, it has received limited attention in prior research. This paper adds value by focusing on both the variables related to increased customer purchases and how these factors change in their influence over the duration of the customer‐supplier relationship.
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Robert C. Fink, William L. James and Kenneth J. Hatten
The purpose of this research is to understand what pricing, purchasing, product defect and late deliveries factors are associated with the decisions of small, medium and large…
Abstract
Purpose
The purpose of this research is to understand what pricing, purchasing, product defect and late deliveries factors are associated with the decisions of small, medium and large size customers to enter into closer customer‐supplier relationships with their suppliers.
Dessign/methodology/approach
The study involves a survey of 372 professionals in the paper industry to investigate the linkage between pricing, purchasing efficiencies and reductions in product defects and later deliveries and relational exchanges across customers of different sizes and resources.
Findings
The results indicate that the pricing, purchasing, product defect and late delivery factors associated with relational supply chain exchanges are different for small, medium and large size customers.
Research limitations/implications
Data were collected from individuals’ perspectives of the customer‐supplier relationships within customer organization only and involved the exchange of one type of product. Similar studies need to be conducted in other industries involving other types of product exchanges that capture both customer and supplier perspectives to verify these findings.
Practical implications
Supplier sales and marketing managers need to understand that different sized customers with different resources may have different performance objectives when entering into relational exchanges. These varying customer performance objectives should help supplier marketing managers to better segment their relational exchange customers and help them in assessing their ability to satisfy varying customer relational exchange performance goals.
Originality/value
While the linkage between closer customer‐supplier relationships and pricing, purchasing, product delivery has been studied in prior research, this is one of the first studies to show that different customer performance factors are associated with different sizes of customers and their relational exchanges. This paper also suggests that further research grounded on a resource‐based theory (RBT) of the firm would be valuable in better understanding the factors associated with different customers' relational exchanges.
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Robert C. Fink, Linda F. Edelman and Kenneth J. Hatten
This study aims to test both customer and supplier performance benefits associated with closer relational exchanges in light of both resource and technological environmental…
Abstract
Purpose
This study aims to test both customer and supplier performance benefits associated with closer relational exchanges in light of both resource and technological environmental contingencies.
Design/methodology/approach
The research involved a survey of 1,170 managers in the pulp and paper industry to understand their relationship with their primary supplier of process control equipment (PCE). Each respondent was asked to provide their views on the closeness of their supplier relationship, the performance gains realized from their supplier relationships, and the linkage between their performance gains and improvements in supplier performance.
Findings
The results indicate that although customers may be achieving better performance through closer relationships, suppliers may not always be reaping reciprocal benefits. Specifically, improvements in customer purchasing performance did not result in improved supplier performance, but customer improvements in production performance resulted in supplier performance gains.
Research limitations/implications
The study focused on the exchange of one product line, PCE, within one industry. Further research is necessary to investigate customer‐supplier relationships involving other products such as parts and material incorporated into the customer's end product and crossing multiple industries. In addition, further research is needed to develop and test other potential performance outcomes and environment contingencies.
Originality/value
Since mutual performance improvements may not always be achieved in relational exchanges, this study suggests some critical considerations for suppliers making decisions to pursue closer customer relationships. These important considerations include the competitive nature of the supplier's market, the customer's desired performance improvement, the customer's level of internal expertise or knowledge, and the supplier's ability to provide differentiated products, services and knowledge.
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Carolina Acedo Darbonnens and Malgorzata Zurawska
Crisis management (CM) has gained prominence in the last decades, as the complex global business environment has forced executives to pay attention to practices that may safeguard…
Abstract
Crisis management (CM) has gained prominence in the last decades, as the complex global business environment has forced executives to pay attention to practices that may safeguard organizations against potential crises. However, despite the fact that various scholars point to the need for autonomy and delegation of authority when responding to crises, it appears that the overarching rationale in the crisis literature is geared toward a centralized approach. This suggests that preventive actions and response to crises lie mainly with the leader of the organization and with designated crises teams. It is also apparent that this literature places too much weight on contingency plans and classification schemes. Although behavioral factors have been discussed by some authors as a fundamental element in dealing with crises, it is not clear how to develop these traits. It is our contention then that these conventional perspectives, although valuable to CM, are insufficient to deal with the uncertainty that characterizes global business today where firms must be prepared for the unexpected. We discuss the limitations of this traditional approach and argue for a combination of central control with decentralized execution when responding to unexpected crises situations. This enables management to better comprehend the complexity embedded in any crisis and allows adaptive practices to emerge throughout the organization. An analysis of two cases paired with empirical field studies support our proposition.
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Hannah R. Marston, Linda Shore, Laura Stoops and Robbie S. Turner
Dean Fink, Jeremy Hannay, Suzanne Lazenby and Warren Marks
Since the turn of the new millennia, governments have increasingly moved away from professional models of educational decision-making and turned toward a neoliberal production…
Abstract
Since the turn of the new millennia, governments have increasingly moved away from professional models of educational decision-making and turned toward a neoliberal production model in which markets and test scores drive educational decisions. In this “brave new world,” teachers have become “human capital,” and principals, the managers of their productivity rather than leaders of learning. As a result of this changing dynamic, teachers have increasingly turned to teacher unions or federations, and away from local school jurisdictions and governments to protect their salaries, working conditions and professionalism. Principals, in turn, have found themselves in a no-win situation – caught between top-down demands from big governments and local school districts for teacher compliance, and big unions' insistence on fair treatment for all teachers. This chapter, therefore, intends to explore this increasingly fragile role of principals in three international settings, in our rapidly changing world.
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The ethics of librarianship has become a topic of increasing interest since the mid‐1970s, as a series of scandals beginning with Watergate seemed to show serious weaknesses in…
Abstract
The ethics of librarianship has become a topic of increasing interest since the mid‐1970s, as a series of scandals beginning with Watergate seemed to show serious weaknesses in the ethical standards of lawyers and other professionals.
Many jurisdictions fine illegal cartels using penalty guidelines that presume an arbitrary 10% overcharge. This article surveys more than 700 published economic studies and…
Abstract
Many jurisdictions fine illegal cartels using penalty guidelines that presume an arbitrary 10% overcharge. This article surveys more than 700 published economic studies and judicial decisions that contain 2,041 quantitative estimates of overcharges of hard-core cartels. The primary findings are: (1) the median average long-run overcharge for all types of cartels over all time periods is 23.0%; (2) the mean average is at least 49%; (3) overcharges reached their zenith in 1891–1945 and have trended downward ever since; (4) 6% of the cartel episodes are zero; (5) median overcharges of international-membership cartels are 38% higher than those of domestic cartels; (6) convicted cartels are on average 19% more effective at raising prices as unpunished cartels; (7) bid-rigging conduct displays 25% lower markups than price-fixing cartels; (8) contemporary cartels targeted by class actions have higher overcharges; and (9) when cartels operate at peak effectiveness, price changes are 60–80% higher than the whole episode. Historical penalty guidelines aimed at optimally deterring cartels are likely to be too low.