Moderating effect of type of product exchanged in long‐term orientation of firm‐supplier relationships: an empirical study

Abstract

Purpose

Taking the Spanish agro‐food sector as reference, the current work seeks to examine the moderating effect of the type of input exchanged; specifically, to analyze the potential differences in temporal orientation of the relationships established between companies and suppliers of “core” and “auxiliary” inputs.

Design/methodology/approach

The information was obtained by means of a postal survey of managers responsible for the supply function from a random sample of Spanish agro‐food companies, specifically wine producers. The reason for approaching these professionals was to obtain responses from individuals who are directly in contact with the firm's suppliers, and who negotiate the purchasing agreements.

Findings

The findings show that, although communication, trust and satisfaction are always important as evaluated elements, their importance is higher when “core” products are considered. The data also indicate that for the case of products that are considered “core”, the relation between commitment and the long‐term orientation of the relationship is not significant. In this way, the more relevant the input is, more important are communication, trust and satisfaction, and the less important is commitment.

Originality/value

Although many studies have analyzed the long‐term orientation of buyer‐seller relationships, very few have considered the influence of the type of product exchanged. And furthermore, no previous works have analyzed the moderating effect of product type on the factors determining this long‐term orientation.

Citation

Polo Redondo, Y. and Cambra Fierro, J.J. (2005), "Moderating effect of type of product exchanged in long‐term orientation of firm‐supplier relationships: an empirical study", Journal of Product & Brand Management, Vol. 14 No. 7, pp. 424-437. https://doi.org/10.1108/10610420510633378