Purchasing Managers' Perceived Bias in Supplier‐Selected Referrals

Hada, Mahima; Grewal, Rajdeep; Lilien, and Gary L.

doi:10.1111/jscm.12007

Cited by 30 publications

(24 citation statements)

References 64 publications

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“…However, a more strategic perspective on the firm's key accounts might give greater consideration to the opportunities for future investment and long-term business development (McGinnis & McCarty, 1998;Zupancic, 2008). Some suppliers might attach greater importance to the reputational benefits associated with customers who boost their credibility and allow them to tout their competence (Hada et al, 2013). Others might cherish customers who have a particular interest in innovation, providing distinct opportunities and 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 p p l y C h a i n M a n a g e m e n t : a n I n t e r n a t i o n a l J o u r n a l 11 incentives to differentiate themselves from their competitors (Capaldo, 2007;Soosay, Hyland, & Ferrer, 2008).…”

Section: Conceptual Framework and Hypothesesmentioning

confidence: 99%

Customer Categorization, Relational Justice and SME Performance in Supermarket Supply Chains

Malagueño

Gölgeci

Fearne³

2018

SSRN Journal

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Supply Chain Management: an International Journal 1 Customer Categorization, Relational Justice and SME Performance in Supermarket Supply Chains Abstract Purpose -The purpose of this research is to examine the impact of perceived relational justice on the relationship between key customer categorization and performance of small food and drink producers in supermarket supply chains.Design/methodology/approach -Survey data is derived from a sample of (small-scale) suppliers of local and regional food to a large British supermarket. Partial least squares regression analysis was used to test a conceptual framework, which positions relational justice as a mediator in the relationship between key customer categorization and supplier performance, moderated by the length of the relationship.Findings -Findings reveal that small suppliers who perceive their treatment by their key customers as fair tend to achieve higher business performance, which supports the hypothesized mediating role of relational justice on supplier performance. However, this research found no evidence to support the hypothesis that this role is moderated by the length of the relationship between the supplier and the buyer.Originality/value -This paper makes a novel empirical contribution, focusing on performance outcomes for small-scale suppliers in a highly competitive environment (fast-moving consumer goods) with customers (supermarkets) who have significant market power. Accordingly, the paper shows that the way supermarket buyers treat their suppliers matters more for the performance of their suppliers than the very fact that they are key customers.

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Section: Conceptual Framework and Hypothesesmentioning

confidence: 99%

Customer Categorization, Relational Justice and SME Performance in Supermarket Supply Chains

Malagueño

Gölgeci

Fearne³

2018

SSRN Journal

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“…Whyte (2003) studied how different users in different contexts within building construction in the UK and US have diverse requirements that demand tailored solutions. Suppliers might select an existing or previous client or user as a reference for a purchasing organization (Hada et al 2013). Users can influence purchasing decisions in a positive way by suggesting the need for certain materials and by defining standards of product quality or, in a negative way, by refusing some products.…”

Section: Active Rolesmentioning

confidence: 99%

A framework for understanding purchasing in building construction companies

Bildsten

Manley

2015

Construction Management and Economics

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Purchasing on the part of a building construction company involves actors inside and outside the organization. These actors are driven by different motives that influence purchasing decisions in different situations. An explicit framework that assists in understanding the different purchasing situations would be of benefit to companies and researchers. Through a study of purchasing theory and practices, including interviews with a number of building construction companies, a framework of purchasing is proposed. The framework covers all stages in the purchasing process and focuses on four factors: (1) purchasing situations; (2) level of complexity; (3) active roles; and (4) supply chain involvement. The interrelationships between these factors are discussed from the perspective of the companies.

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“…Elaborate review of literature in multi‐sourcing procurement can also be found in the related literature (Balakrishnan and Natarajan , Hada et al. , Heide et al. , Honhon et al.…”

Section: Introductionmentioning

confidence: 99%

Buyer Behavior in Quality‐Dominated Multi‐Sourcing Recyclable‐Material Procurement of Green Supply Chains

Sheu

2016

Production and Operations Management

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This study presents a multi‐methodological approach to investigate buyer behavior in quality‐dominated multi‐sourcing recyclable‐material procurement of green supply chains. This work hypothesizes the correlations between buyer perceptions of supply and relational quality, quality attitude, psychological benefits, and willingness to pay. This is followed by conducting a normative analysis, where the postulated hypotheses are incorporated into a buyer behavior model which characterizes buyer decisions regarding multi‐supplier selection and price negotiations using multinomial logit model and Nash bargaining game theory. Through an empirical study, this work demonstrates that the proposed buyer behavior theory and hypotheses hold, and upport the analytical results yielded from the normative analysis. Analytical results indicate that supply‐ and relationship‐quality positively affect buyer quality attitude in the rational and affective cognition domains, and thus jointly determine buyer decisions regarding supplier selection and price negotiations in multiple sourcing green procurement. Nevertheless, the aforementioned effects are moderated by buyer psychological benefits. Additionally, this study demonstrates a phenomenon known as “buyer's supply surplus”, which articulates the negative effect of buyer attitude towards channel relationship quality on willingness to pay. This can also rationalize why a buyer favors choosing suppliers with superior relational quality for the achievement of lower negotiated prices.

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Purchasing Managers' Perceived Bias in Supplier‐Selected Referrals

Cited by 30 publications

References 64 publications

Customer Categorization, Relational Justice and SME Performance in Supermarket Supply Chains

Customer Categorization, Relational Justice and SME Performance in Supermarket Supply Chains

A framework for understanding purchasing in building construction companies

Buyer Behavior in Quality‐Dominated Multi‐Sourcing Recyclable‐Material Procurement of Green Supply Chains

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