Determinants of buyer relationship intention from a signaling perspective : the case of Vietnamese importers
- Publication Type:
- Thesis
- Issue Date:
- 2007
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Marketing scholars and practitioners have recognised the importance of developing and
nurturing relationships to achieve sustainable competitive advantages. However, while
selling firms prefer to establish relationships with buyers, it is strongly argued that not
all buyers have the motive or desire to do so. Therefore, understanding determinants of
buyers' relationship intentions is crucial for sellers to develop appropriate relationship
marketing strategies.
A review of the literature on business-to-business relationships reveals that limited
research has investigated the existence of imperfect and asymmetric information in
buyer-seller relationships. The degree of imperfection and asymmetry is more marked
in the importer-exporter relationship context because of differences in cultural, social
and business environments. Signaling theory suggests that sending signals can solve
problems caused by asymmetric and imperfect information. Signaling theory has
become a standard framework for studying a wide variety of phenomena. However, the
question of how signals can help to encourage buyers to engage in long-term
relationships with sellers has been largely ignored. This study attempts to enhance our
knowledge by investigating the determinants of buyers' relationship intention from a
signaling perspective.
Based on a review of literature on relationship intention, signaling theory and supplier
selection, this study develops a theoretical model to explain: (1) how signal consistency
and signal clarity determine importers' relationship intention; and, (2) how signal
consistency and signal clarity influence importers' perceptions of the three critical
supplier selection criteria (product quality, price competitiveness and de1ivery
performance). Two competing models are also proposed in association with the
theoretical model.
A transition economy (Vietnam) was selected in which to test these models. A survey
questionnaire was developed based on the literature review and nine in-depth
interviews, then tested via a pilot study. Survey data utilising a sample of 418
Vietnamese importers, was used to validate constructs via Confirmatory Factor
Analysis, and then to test the theoretical model and its two competing models via twostep
approach in Structural Equation Modeling. All constructs achieve reliability and
validity, and the theoretical model is selected over its two competing models. All eleven
hypotheses derived from the theoretical model are supported by the data.
The results show that signal consistency and signal clarity positively influence
perceived product quality, perceived price competitiveness and perceived delivery
performance. These perceptions then have positive effects on exporter credibility.
Exporter credibility, in turn, positively influences importer relationship intention. The
findings also support the moderating roles of ownership and relationship duration.
The study concludes with a discussion of theoretical, methodological and contextual
contributions. Managerial implications for exporters, importers and government, as well
as directions for future research, are also addressed.
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