Impact of relational communication on buyer–supplier relationship satisfaction: role of trust and commitment

Abstract

PurposeThe present study aims to examine the impact of relational communication, operationalized in terms of information sharing, quality and frequency of information, on buyer's trust and relationship satisfaction in a buyer–vendor relationship. The study also tests the mediating role of trust and the moderating role of relationship commitment in relational communication and satisfaction relationship.Design/methodology/approachThe data for the study were collected through a questionnaire survey from 321 managers of the different firms who were directly or indirectly involved in making procurement or purchasing decision in the firm and were familiar with the firm's supplier relationships.FindingsRelational communication was found to be positively related to relational satisfaction and trust partially mediated this relationship. Further, relationship commitment moderated relational communication-satisfaction relationship, such that the positive affect of relational communication on relational satisfaction was accentuated when buyer experienced higher relationship commitment towards the supplier.Research limitations/implicationsUsing single source, self-reported questionnaire data and cross-sectional research design are the limitations of this study. Studies in future should consider a dyadic perspective. The study outlines the need to explore investments and strategies in enhancing relational communication in buyer–vendor relationships.Originality/valueAnchored in theoretical foundations of social exchange theory, the study integrates and tests behavioral aspects of buyer–vendor relationship. Testing an integrated model with direct and indirect effects of relational communication on relationship satisfaction in buyer–vendor is a significant contribution of the research. The study also contributes by examining relational exchanges in buyer-vendor relationships in India, an underrepresented context in buyer–supplier relationship (BSR) literature.

The Mediating and Combined Effects of Trust and Satisfaction in the Relationship between Collaboration and the Performance of Innovation in Industry—Public Research Institute Partnerships

“…Dash et al [32] suggested that interorganizational collaboration has a positive effect on satisfaction. While Agarwal and Narayana [16] showed that collaborative activities-such as sharing information between organizations-has a positive effect on satisfaction. On the other hand, Niranjan et al [20] show that collaborative activities, such as information exchange, do not have a significant effect on satisfaction.…”

“…Most interorganizational relationship studies show that collaborative activity improved satisfaction, while others show no significant relationship between them. Based on Agarwal and Narayana [16], and Niranjan et al [20], we hypothesized that collaborative activity improves satisfaction in I-PRI collaborations, as follows:…”

“…In I-PRI collaborations where R&D activities are at the core, it is necessary to confirm that trust is an important factor mediating between collaboration and the performance of innovation, because the leakage of partner knowledge and opportunistic behavior can act as a fatal threat to the firms involved. Meanwhile, in interfirm relationships, collaboration improves satisfaction [16], satisfaction increases collaboration performance [17,18], and collaboration improves innovative performance [19]. Based on existing literatures, in an I-PRI collaboration, satisfaction is expected to play a mediating role between the relationship of collaboration and performance, but empirical evidence shows this is insufficient.…”

Impact of Knowledge Hiding Behaviors on Workplace Invincibility: Mediating Role of Psychological Contract Breach

“…It has been argued as an antisocial behavior which includes low intense harms such as anger, aggression, deviance, bullying, and workplace violence ( Chughtai et al, 2020 ). These malicious behaviors can be exhibited due to any negative trigger such as knowledge hiding or interpersonal distrust or breach of psychological contract ( Agarwal and Narayana, 2020 ).…”

“…Psychological contract breach has been the variable of interest for researchers for many years to explain the social interactions using SET. People make connections and interact with others in the hope that the favor they are doing to others will be returned at some time in future ( Rani et al, 2018 ; Pervez et al, 2019 ; Agarwal and Narayana, 2020 ; Bari et al, 2020 ; Han et al, 2021 ). The social relationships among the employees are naturally based on the social exchanges, an expectation of getting a reciprocal favor in the future for a good deed done at present ( Zhai et al, 2021 ).…”