Measuring the Impact of Exchange Orientation on Relationship Value: Technical Report on Methods

Relationship marketing assumes that relational exchange generates greater value than transactional exchange. This conjecture warrants particular attention in the trade of wood products where exchange is traditionally transaction-based. A multiple case study was used to investigate relationships between three Canadian wood products suppliers and their customers in the North American supply chain for residential construction. This case study addresses whether a transactional or relational exchange orientation (EO) leads to a higher relationship value (RV) between suppliers and customers. The results suggest that RV is superior in a relational EO due to the occurrence of longer-term relationships and higher degrees of interdependence, commitment, trust, communication, cooperation, and coordination between organizations. The present document presents methodological developments undertaken to measure the impact of EO on RV in the context of this case study. It first details the research protocol followed for the case study, and then presents the process for operationalizing these two concepts into measurable constructs adapted to the research context.

[1]  K. Ruyter,et al.  Cooperating for service excellence in multi-channel service systems: an empirical assessment , 2004 .

[2]  G. Ahuja Collaboration Networks, Structural Holes, and Innovation: A Longitudinal Study , 1998 .

[3]  Wolfgang Ulaga Capturing value creation in business relationships: A customer perspective , 2003 .

[4]  Barton A. Weitz,et al.  Determinants of Continuity in Conventional Industrial Channel Dyads , 1989 .

[5]  R. Yin Case Study Research: Design and Methods, 3rd Edition , 2002 .

[6]  Ravi S. Achrol,et al.  Changes in the Theory of Interorganizational Relations in Marketing: Toward a Network Paradigm: , 1997 .

[7]  Gary L. Frazier,et al.  The Severity of Contract Enforcement in Interfirm Channel Relationships , 2001 .

[8]  G. Zaltman,et al.  Factors affecting trust in market research relationships. , 1993 .

[9]  R. Handfield,et al.  The role of trust and relationship structure in improving supply chain responsiveness , 2002 .

[10]  James A. Narus,et al.  A Model of Distributor Firm and Manufacturer Firm Working Partnerships , 1990 .

[11]  James R. Brown,et al.  Power and relationship commitment: their impact on marketing channel member performance , 1995 .

[12]  Robert F. Lusch,et al.  A Modified Model of Power in the Marketing Channel , 1982 .

[13]  Jeremy F. Shapiro,et al.  Modeling and IT Perspectives on Supply Chain Integration , 2001, Inf. Syst. Frontiers.

[14]  Michael J. Gallivan,et al.  Trust, control and the role of interorganizational systems in electronic partnerships , 2003, Inf. Syst. J..

[15]  S. Hunt,et al.  The Commitment-Trust Theory of Relationship Marketing , 1994 .

[16]  Sven A. Haugland,et al.  Factors Influencing the Duration of International Buyer-Seller Relationships , 1999 .

[17]  I. Chen,et al.  Towards a theory of supply chain management: the constructs and measurements , 2004 .

[18]  G. Mcnicoll,et al.  The New Social Contract: An Inquiry into Modern Contractual Relations. , 1981 .

[19]  K. Eisenhardt Building theories from case study research , 1989, STUDI ORGANIZZATIVI.

[20]  Tony Conway,et al.  International relationship marketing ‐ The importance of psychic distance , 2000 .

[21]  Jan B. Heide Interorganizational Governance in Marketing Channels , 1994 .

[22]  Charles C. Nielson An empirical examination of the role of “closeness” in industrial buyer‐seller relationships , 1998 .

[23]  Arvind Parkhe Strategic Alliance Structuring: A Game Theoretic and Transaction Cost Examination of Interfirm Cooperation , 1993 .

[24]  Shankar Ganesan Determinants of Long-Term Orientation in Buyer-Seller Relationships , 1994 .

[25]  F. Robert Dwyer,et al.  Power, bureaucracy, influence, and performance: Their relationships in industrial distribution channels , 1995 .

[26]  J. Steenkamp,et al.  A Meta-Analysis of Satisfaction in Marketing Channel Relationships , 1999 .

[27]  M. Porter Clusters and the new economics of competition. , 1998, Harvard business review.

[28]  Thomas Ritter A Framework for Analyzing Interconnectedness of Relationships , 2000 .

[29]  C. Grönroos,et al.  The value concept and relationship marketing , 1996 .

[30]  K. Bridson,et al.  Explaining retail offer adaptation through psychic distance , 2003 .

[31]  Mohan V. Tatikonda,et al.  Product Technology Transfer in the Upstream Supply Chain , 2003 .

[32]  Thomas Ritter,et al.  Functions of industrial supplier relationships and their impact on relationship quality , 2003 .

[33]  H. Håkansson International Marketing and Purchasing of Industrial Goods: An Interaction Approach , 1982 .

[34]  Keysuk Kim On determinants of joint action in industrial distributor–supplier relationships: Beyond economic efficiency , 1999 .

[35]  S. Borgatti,et al.  A General Theory of Network Governance: Exchange Conditions and Social Mechanisms , 1997 .

[36]  Poul Houman Andersen,et al.  Relationship development and marketing communication: An integrative model , 2001 .

[37]  K. Ruyter,et al.  Antecedents of commitment and trust in customer-supplier relationship in high technology markets. , 2001 .

[38]  John R. Nevin,et al.  The Differential Effects of Exercised and Unexercised Power Sources in a Marketing Channel , 1985 .

[39]  Robert E. Spekman,et al.  Supply Chain Competency: Learning as a Key Component , 2002 .

[40]  F. Schmidt Meta-Analysis , 2008 .

[41]  M. Meeus,et al.  Do Organizational and Spatial Proximity Impact on Firm Performance? , 2005 .

[42]  Gary L. Frazier,et al.  The Use of Influence Strategies in Interfirm Relationships in Industrial Product Channels , 1991 .

[43]  Eric Abrahamson,et al.  FORGING THE IRON CAGE: INTERORGANIZATIONAL NETWORKS AND THE PRODUCTION OF MACRO‐CULTURE , 1992 .

[44]  F. Dwyer,et al.  Developing Buyer-Seller Relationships , 1987 .

[45]  Thomas Johnsen,et al.  A Conceptual Model for Researching the Creation and Operation of Supply Networks , 2004 .

[46]  Amy L. Parsons,et al.  What Determines Buyer‐Seller Relationship Quality? An Investigation from the Buyer's Perspective , 2002 .