An Examination of the Nature of Trust in Buyer–Seller Relationships

1997 ◽  
Vol 61 (2) ◽  
pp. 35-51 ◽  
Author(s):  
Patricia M. Doney ◽  
Joseph P. Cannon

The authors integrate theory developed in several disciplines to determine five cognitive processes through which industrial buyers can develop trust of a supplier firm and its salesperson. These processes provide a theoretical framework used to identify antecedents of trust. The authors also examine the impact of supplier firm and salesperson trust on a buying firm's current supplier choice and future purchase intentions. The theoretical model is tested on data collected from more than 200 purchasing managers. The authors find that several variables influence the development of supplier firm and salesperson trust. Trust of the supplier firm and trust of the salesperson (operating indirectly through supplier firm trust) influence a buyer's anticipated future interaction with the supplier. However, after controlling for previous experience and supplier performance, neither trust of the selling firm nor its salesperson influence the current supplier selection decision.

Author(s):  
Thang Ngoc Nguyen

This study aims to build a theoretical framework to explore some main motivating factors which affect employee satisfaction in DongNai Province Inspectorate. The researcher employs meta-analysis methods to utilise valuable findings from previous overseas and domestic studies. The proposed theoretical framework is based on Maslow’s Hierarchy of Needs (1943), ERG (1969), Kovach (1987), Public service motivation (1990). Simultaneously, there is a modification in order to fit into the context of DongNai Province Inspectorate. The suggested theoretical model indicates elements including promotion, social position, public serving, interesting work, good relationship and responsibilities. Employee satisfaction in DongNai Province Inspectorate is mostly affected by “interesting work”, because professional environment makes people feel secure to work in an organization. The impact of other factors is in a descending order as follows: promotion, public serving, social position, responsibilities and good relationship.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ling-Yun He ◽  
Hongzhen Zhang

PurposeInspired by the comparison of charity donations among candidates in rural elections, the authors linked the non-profit motives of charity to corporate pollution emissions. And on this basis, the authors aim to provide theoretical and empirical explanations for the relationship between corporate philanthropy and pollution. The authors find that the desire to pursue more pollution emissions stimulates the firm's philanthropy, which is similar to the public welfare donations in rural elections.Design/methodology/approachFirstly, the authors construct a game-theoretical framework consisting of an entrepreneur and a bureaucrat to study the environmental cost of corporate philanthropy through the impact on pollution emission by the firm. Secondly, the authors used various empirical methods, including hybrid OLS, IV-2SLS, PSM, etc., to empirically test the impact of a firm's philanthropy on corporate pollution emissions. Finally, the authors use the output and abatement input as intermediary variables and apply the intermediary effect model to test the impact mechanism between corporate philanthropy and corporate pollution emissions.FindingsTheoretical model finds that the firm invests more in philanthropy discharges more emissions when the theoretical model is in political equilibrium. Besides, empirical results show that corporate philanthropy will lead to more pollution emissions by reducing abatement input and increasing production. Finally, the heterogeneity test finds that compared with state-owned enterprises, the intention of non-state-owned enterprises' philanthropy for more pollution emission is more obvious. Moreover, the improvement of regional environmental regulation can significantly inhibit the realization of corporate philanthropy's poor motive.Practical implicationsThe results have obvious policy implications for China's future policy-making. Firstly, regulatory agencies should pay close attention to the charitable behaviors of firms with serious negative environmental externalities, and prevent them from replacing more pollution emissions with philanthropy. Besides, due to weak environmental supervision in rural areas, rural polluting enterprises will be more inclined to make charitable donations to the village collective to obtain more emission rights. Therefore, the government should strengthen environmental supervision in rural areas to prevent enterprises from wanton pollution.Originality/valueBy constructing a game-theoretical framework consisting of an entrepreneur and a bureaucrat, the authors expound on corporate philanthropy's pollution motivation and decision-making mechanism for the first time in theory. Besides, this paper finds that the desire to pursue more pollution emissions also stimulates the firm's philanthropy. This paper expands the literature on corporate charitable donation motivations.


2017 ◽  
Vol 24 (7) ◽  
pp. 1956-1976 ◽  
Author(s):  
Mohd. Nishat Faisal ◽  
Bader Al-Esmael ◽  
Khurram Jahangir Sharif

Purpose The purpose of this paper is to integrate the “triple bottom line (3BL)” approach in the supplier selection decision. It also aims to consider the feedback effect of the decision on strategic factors that determine the future viability of the firm in the market. Design/methodology/approach A multi-criteria decision model is developed that considers simultaneously the impact of three dimensions of 3BL approach and their sub-dimensions on the supplier selection decision. The proposed model is evaluated for a large white goods manufacturer using the analytic network process (ANP) approach. Findings The ANP considers the impact of variables, sub-variables, and their interdependencies simultaneously. The outcome of the model is the relative priorities for the firms considered as potential suppliers. Practical implications This research was conducted in one of the largest developing economies. The impact of integrating sustainability would be widespread due to the huge market in which the company operates. The results of this research can provide support to the decision makers in arriving at an optimal decision considering all sustainability dimensions. Originality/value The novelty of the approach lies in the application of multi-criteria model integrating sustainability dimensions with a feedback effect for supplier selection. The case company would benefit by showing its commitment toward environment and social responsibility leading to improved brand image and sustainable business.


2020 ◽  
Author(s):  
Yashinta Kartikasari ◽  
Tina Melinda

The aim of this study is to determine the impact of supplier selection criteria and supplier involvement on supplier performance in CV Teguh Jaya. The variables studied were supplier selection criteria (X1) and supplier involvement (X2). There are five indicators in supplier selection criteria, namely cost, quality, delivery, flexibility, and reliability. Whereas Supplier Involvement can be inferred from indicators such as how active the supplier is in updating goods and data, providing responses to customers, and minimizing problems in business processes. The analytical tool used in this study was multiple linear regression analysis. The population in this study was resellers who have become regular customers in CV Teguh Jaya with a sample size of 98 respondents, determined through purposive sampling technique with the criterion of being a fixed customer for at least 2 years. From the data analysis results we can infer that both supplier selection criteria and supplier involvement have impact on supplier performance. Based on the analysis results, CV Teguh Jaya needs to maintain the elements that were deemed satisfactory by the customers and need to improve on elements deemed lacking. Future research can consider adding other variables used in the previous studies. Keywords: Supplier selection criteria; Supplier involvement; and Supplier performance


2014 ◽  
Vol 708 ◽  
pp. 39-46
Author(s):  
Hana Lostakova ◽  
Zuzana Pecinova ◽  
Lenka Branska ◽  
Vladimira Vlckova ◽  
Michal Patak

Current approaches to supplier evaluation from the perspective of customers mainly consist in the evaluation of the perceived quality of parameters of supply and services of each supplier. Although this aspect of the supplier evaluation from the perspective of customers is an essential part of the evaluation of suppliers, its drawback is the orientation to the past. So far, less attention in the evaluation of suppliers from the perspective of customers has been paid to the consequences of delivering value to customers, namely to the impact of the value delivered to customers on the attitudes of individual customers, their purchase intentions and their future purchase behavior. The article presents the basic features of the methodology of supplier evaluation focused on stages of customer readiness for future purchases from suppliers from their awareness through their preferences over other suppliers, satisfaction, retention to loyalty and results of primary research into this evaluation among purchasers of selected products determined for production consumption.


2021 ◽  
Author(s):  
Anthony Harding

<p>Weather matters at the <em>local</em> level. Microeconomic climate econometric analyses find evidence that weather has localized effects on labor supply, agricultural yields, mortality rates, and other socio-economic measures. However, macroeconomic analyses at the national level find no evidence that weather affects macroeconomic aggregates, such as GDP or aggregate productivity in the US and other developed economies. These results present a seeming contradiction. In this paper, I develop a general equilibrium theoretical model of an economy with localized weather shocks to bridge the gap between microeconomic and macroeconomic studies. The theoretical model provides a simple, modular framework for aggregating weather shock impacts. I apply the findings to an empirical setting in the US, a prime example of the contradictory findings. I first estimate the microeconomic impacts of weather on labor productivity growth across county-industry pairs in the US from 2002 to 2017. I then apply these to construct annual estimates of the impact of weather shocks across the economy on US GDP according to the theoretical framework. I construct confidence intervals using the estimated microeconomic impact uncertainty. Across the sample years, I find no evidence that the annual impacts are distinct from $0. I then deconstruct the aggregate impacts, again following the theoretical framework, to examine what generates this no-effect result. I find consistent evidence of statistically significant but heterogeneous effects across a majority of counties and industries. For example, within a given year, over two-thirds of counties are consistently and significantly impacted by their local weather. This effect is positive for some counties and negative for others. I show that it is the aggregation of these heterogeneous impacts across the spatial distribution and industrial composition of the economy that masks the impact of weather. This finding highlights the importance of understanding micro-level economic impacts and changes in the composition of economic activity for projections of future macroeconomic climate change impacts.</p>


2020 ◽  
Vol 23 (3) ◽  
pp. 425-445
Author(s):  
Nic Lees ◽  
Peter Nuthall ◽  
Mark M.J. Wilson

The importance of procurement relationships in food supply chains is increasing in importance due to issues of food safety, food security, changing consumer preferences, ethical concerns and greater awareness of the environmental impact of food production. Despite the considerable research on buyer-seller relationships in the marketing and management literature, only a small proportion of this has focused on procurement relationships between producers and buyers in food supply chains. Hence, this paper specifically focuses on examining the impact of relationship quality on supplier performance in the context of food supply chains. The theoretical framework is derived from the tenets of the resource-based view and the relational view of firms. Using this framework, the definition, measurement and structural dimensions of relationship quality is established in the context of food producers and buyers. This construct is then tested in relationship to supplier performance. Utilizing data from a mail survey of 954 red meat producers in New Zealand, the model of supplier-buyer relationship quality and its effects on supplier performance is tested using structural equation modelling. The results demonstrate that relationship quality is an essential factor in procurement relationships with suppliers in food supply chains and shows that, as hypothesized, higher quality relationships lead to positive performance outcomes. The results support the theoretical framework indicating that relationship quality, conceptualized and defined in this context, is indeed a valuable relational resource due to its impact on supplier performance. Managerially, this resource can be manipulated to improve supplier performance, and hence potentially provide firms with competitive advantage that has high replication barriers.


2021 ◽  
Vol 14 (1) ◽  
pp. 63-73
Author(s):  
Nasar Buntu Laulita

Sustainable supplier selection during tender is one of the critical factors in the supply chain management to maintain sustainable procurement in an organisation. Many factors contribute to the success of sustainable supplier selection practices, and ethical culture is one of the factors because it would influence supplier selection. This study aims to determine the effect of implementing sustainable supplier selection on supplier performance by moderating the effect of ethical culture in the mining industry. This type of research is explanatory research with hypothesis testing of 104 respondents by distributing questionnaires. The data analysis is conducted by Structural Equation Model (SEM). The research shows that the construct of sustainable supplier selection with economic, social, and environmental aspects as dimensions has a direct and significant impact on supplier performance in the mining industry. This research also shows that ethical culture has a significant moderating effect in the relationship between sustainable supplier selection and supplier performance. The managerial implication of this research is providing guideline for decision-makers to implement sustainable supplier selection by considering economic, social, and environmental aspects while maintaining an ethical culture as a part of work professionalism to maintain sustainable performance in the mining industry.


2014 ◽  
Vol 222 (3) ◽  
pp. 140-147 ◽  
Author(s):  
Ariane Sölle ◽  
Theresa Bartholomäus ◽  
Margitta Worm ◽  
Regine Klinger

Research in recent years, especially in the analgesic field, has intensively studied the placebo effect and its mechanisms. It has been shown that physical complaints can be efficiently reduced via learning and cognitive processes (conditioning and expectancies). However, despite evidence demonstrating a large variety of physiological similarities between pain and itch, the possible transfer of the analgesic placebo model to itch has not yet been widely discussed in research. This review therefore aims at highlighting potential transfers of placebo mechanisms to itch processes by demonstrating the therapeutic issues in pharmacological treatments for pruritus on a physiological basis and by discussing the impact of psychological mechanisms and psychological factors influencing itch sensations.


Author(s):  
Endy Gunanto ◽  
Yenni Kurnia Gusti

In this article we present a conceptual of the effect of cross culture on consumer behavior incorporating the impact of globalization. This conceptual idea shows that culture inûuences various domains of consumer behavior directly as well as through international organization to implement marketing strategy. The conceptual identify several factors such as norm and value in the community, several variables and also depicts the impact of other environmental factors and marketing strategy elements on consumer behavior. We also identify categories of consumer culture orientation resulting from globalization. Highlights of each of the several other articles included in this special issue in Asia region. We conclude with the contributions of the articles in terms of the consumer cultural orientations and identify directions for future research.


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