The Effect of Output Controls, Process Controls, and Flexibility on Export Channel Performance

Bello, Daniel C.; Gilliland, David I.

doi:10.2307/1252187

Cited by 316 publications

(229 citation statements)

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“…Agency theory proposes two mechanisms to manage principal-agent relationships: monitoring (see, for example Aulakh, et al, 1996;Bello & Gilliland, 1997 for the exporting context) and incentives. Focusing on the latter, we provided evidence that export price manipulations allow the exporter to offer incentives to the importer which in turn increase the latter's commitment to the exporter's product portfolio.…”

Section: Discussionmentioning

confidence: 99%

“…The foreign intermediary needs to be viewed as a partner in "what is a quintessentially two-sided exchange designed [primarily] to satisfy importers' business needs." Aulakh, Kotabe and Sahay (1996) and Bello and Gilliland (1997) point to agency theory to explain export channels relationships. In domestic research on channels and control (e.g., Banerjee, Bergen, Dutta, & Ray, 2012;Lassar & Kerr, 1996) or sales force management (Frenzen, Hansen, Krafft, Mantrala, & Schmidt, 2010;Mishra & Prasad, 2005), agency theory has been used in a manufacturer (principal)-distributor/sales force (agent) context.…”

Section: Theory and Hypothesesmentioning

confidence: 99%

“…Second, we used two reflective scales to assess the importer role performance (Kumar, Stern, & Achrol, 1992) and the exporter economic performance (Bello & Gilliland, 1997). For these scales, we calculated the standardized loading of each indicator, the composite reliability index (ρf, see Appendix), and the variance extracted (ρvc, see Appendix).…”

Section: Measurementmentioning

confidence: 99%

“…Agency theory has been used to explain the impact of monitoring on export channel relationships (see for example : Aulakh, Kotabe, &Sahay, 1996 andGilliland, 1997). However, by studying the effect of export pricing on the management of channel relationships, this study brings a novel perspective to the export channel research.…”

Section: Introductionmentioning

confidence: 99%

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Pricing to manage export channel relationships

Obadia¹,

Stöttinger²

2015

International Business Review

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Section: Discussionmentioning

confidence: 99%

Section: Theory and Hypothesesmentioning

confidence: 99%

Section: Measurementmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

See 2 more Smart Citations

Pricing to manage export channel relationships

Obadia¹,

Stöttinger²

2015

International Business Review

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“…Several studies have found the performance of independent intermediaries is influenced by the characteristics of the interorganizational relations between the principals and the agents (e.g., Bello and Gilliland, 1997;Nes et al, 2007). The performance, broadly speaking, may impact whether relationships with independent intermediaries are terminated or retained.…”

Section: Introductionmentioning

confidence: 99%

Antecedents and consequences of replacing international independent intermediaries

Nes

2014

European Business Review

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Purpose – What characterizes the relationships with intermediaries that are soon to be replaced, and are the replacements successful? The paper aims to discuss these issues. Design/methodology/approach – The study applies a longitudinal design. The paper conducted a survey among a sample of exporters concerning their relationships with independent intermediaries in terms of trust, commitment, communication, control and two performance variables; financial performance and strategic goal achievement. Five years thereafter the author contacted the same companies again and questioned which independent intermediaries had been replaced in the period. The author then compared the replaced intermediaries with the extended intermediaries before they were replaced and analysed changes in the evaluations of the relationships and of the performance after the replacement. Findings – The relationships with terminated intermediaries that were replaced by sales subsidiary or home-based direct sales were characterized having higher trust, communication and control than extended relationships before replacement. While it may be surprising that these quite successful relationships were terminated, this is in line with internationalization process theories. The replacements, both intermediaries that were replaced by other intermediaries and by sales subsidiary/home-based direct sales, were highly successful in terms of improvement in performance and behavioural relationship variables. Research limitations/implications – The empirical findings are limited by the sample and by data collection from the principal only in the dyadic relations. Practical implications – International independent intermediaries should analyse the likelihood of being replaced by the principal because the relationship or the performance is unsatisfactory, but also because of satisfactory evaluations. Terminations of satisfactory relationships tend to be accompanied by change in operation mode to internal organization. The independent intermediary should in such cases build a defence structure against unwanted termination and/or prepare for buyout. The success of the replacements suggests that international marketers benefit from being proactive in replacing intermediaries with new intermediaries or with a hierarchal entry mode. Originality/value – This is the first study that applies most of these variables from interorganizational relations theory in the study of international independent intermediary replacements. It is also the first to give insight into the consequences of intermediary terminations.

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Toward an encompassing theory of business marketing relationships (BMRS) and interpersonal commercial relationships (ICRS): An empirical generalization

Iacobucci

Hibbard

1999

Journal of Interactive Marketing

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The Effect of Output Controls, Process Controls, and Flexibility on Export Channel Performance

Cited by 316 publications

References 0 publications

Pricing to manage export channel relationships

Pricing to manage export channel relationships

Antecedents and consequences of replacing international independent intermediaries

Toward an encompassing theory of business marketing relationships (BMRS) and interpersonal commercial relationships (ICRS): An empirical generalization

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