IDEAS home Printed from https://ideas.repec.org/a/eee/jbrese/v65y2012i7p1025-1030.html
   My bibliography  Save this article

Encouraging innovation in business relationships—A research note

Author

Listed:
  • Mooi, Erik A.
  • Frambach, Ruud T.

Abstract

How do buyer–supplier relationships affect innovation? This study suggests that the relational exchange norms of flexibility, information sharing, and solidarity (the bright side) encourage buyer innovation. However, negative (dark side) aspects of relationships with suppliers—loss of supplier objectivity, increasing buyer expectations, and supplier opportunism—may accompany the bright side and subsequently reduce buyer innovation. The study reports on the simultaneous effects of the bright and dark sides on innovation and the resultant effect on supplier performance as evaluated from the buyer's perspective. Using data from the travel and computer industry, regression models reveal that the bright side encourages buyer innovation. Buyers reciprocate this support by enhancing their supplier evaluations. The findings indicate that rising buyer expectations—supposedly a dark side of relational exchange—encourage innovation, while loss of supplier objectivity reduces relationship performance. These findings imply that the bright and dark sides are not mutually exclusive dimensions of good versus bad behavior.

Suggested Citation

  • Mooi, Erik A. & Frambach, Ruud T., 2012. "Encouraging innovation in business relationships—A research note," Journal of Business Research, Elsevier, vol. 65(7), pages 1025-1030.
    • Handle: RePEc:eee:jbrese:v:65:y:2012:i:7:p:1025-1030
    DOI: 10.1016/j.jbusres.2011.03.016
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0148296311001159
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jbusres.2011.03.016?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. M. Bensaou & Erin Anderson, 1999. "Buyer-Supplier Relations in Industrial Markets: When Do Buyers Risk Making Idiosyncratic Investments?," Organization Science, INFORMS, vol. 10(4), pages 460-481, August.
    2. Janet Bercovitz & Sandy D. Jap & Jack A. Nickerson, 2006. "The Antecedents and Performance Implications of Cooperative Exchange Norms," Organization Science, INFORMS, vol. 17(6), pages 724-740, December.
    3. Sandy D. Jap & Erin Anderson, 2003. "Safeguarding Interorganizational Performance and Continuity Under Ex Post Opportunism," Management Science, INFORMS, vol. 49(12), pages 1684-1701, December.
    4. John Hauser & Gerard J. Tellis & Abbie Griffin, 2006. "Research on Innovation: A Review and Agenda for," Marketing Science, INFORMS, vol. 25(6), pages 687-717, 11-12.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Bing Zhou & Yumeng Li & Shengzhong Huang & Sidai Guo & Bing Xue, 2019. "Customer Concentration and Corporate Innovation: Effects of Financing Constraints and Managers’ Expectation of Chinese Listed Companies," Sustainability, MDPI, vol. 11(10), pages 1-19, May.
    2. Marika Makkonen & Anna Aminoff & Katri Valkokari, 2018. "Stimulating Supplier Innovation In A Complex And Regulated Business Environment — A Dyadic Case Study," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 22(03), pages 1-34, April.
    3. Patnaik, Swetketu & Pereira, Vijay & Temouri, Yama, 2022. "Intra-organisational dynamics as ‘dark side’ in inter-organizational relationships: Evidence from a longitudinal investigation into a university-industry collaboration," Technological Forecasting and Social Change, Elsevier, vol. 174(C).
    4. Costin Lianu & Irina Gabriela Radulescu & Simona Corina Dobre Gudei & Cosmin Lianu & Veronica Mindrescu, 2022. "Cohesion Forces Determinants in Cluster Development: A Study Case for Romania," Sustainability, MDPI, vol. 14(6), pages 1-12, March.
    5. Xiong, Yurong & Wu, Haomin & Ding, Xin & Wu, Ji (George), 2023. "Supplier geographical concentration and corporate innovation," Finance Research Letters, Elsevier, vol. 56(C).
    6. Ren, Shengce & Eisingerich, Andreas B. & Tsai, Huei-ting, 2015. "Search scope and innovation performance of emerging-market firms," Journal of Business Research, Elsevier, vol. 68(1), pages 102-108.
    7. Abosag, Ibrahim & Yen, Dorothy Ai-wan & Barnes, Bradley R. & Gadalla, Eman, 2021. "Rethinking guanxi and performance: Understanding the dark side of Sino–U.S. business relationships," International Business Review, Elsevier, vol. 30(4).
    8. Sun, Guanglin & Fang, Jiming & Li, Jinning & Wang, Xiaolin, 2024. "Research on the impact of the integration of digital economy and real economy on enterprise green innovation," Technological Forecasting and Social Change, Elsevier, vol. 200(C).
    9. Kang, Bohyeon & Jindal, Rupinder P., 2015. "Opportunism in buyer–seller relationships: Some unexplored antecedents," Journal of Business Research, Elsevier, vol. 68(3), pages 735-742.
    10. Dafna Kariv & Norris Krueger & Gavriellea Kashy & Luis Cisneros, 2024. "Process innovation is technology transfer too! How entrepreneurial businesses manage product and process innovation," The Journal of Technology Transfer, Springer, vol. 49(5), pages 1762-1786, October.
    11. Struwe, Sascha & Slepniov, Dmitrij, 2021. "Conflict by design and why institutions matter in service design: A case of a German Creative Agency in China," Journal of Business Research, Elsevier, vol. 130(C), pages 124-136.
    12. Shuangcheng Luo & Yangli Yuan, 2023. "The Path to Low Carbon: The Impact of Network Infrastructure Construction on Energy Conservation and Emission Reduction," Sustainability, MDPI, vol. 15(4), pages 1-20, February.
    13. Kim, Dong W. & Trimi, Silvana & Hong, Soon G. & Lim, Seongbae, 2020. "Effects of co-creation on organizational performance of small and medium manufacturers," Journal of Business Research, Elsevier, vol. 109(C), pages 574-584.
    14. CLAUDINE KEARNEY & KILLIAN J. McCARTHY & EELKO K. R. E. HUIZINGH, 2019. "One Size (Does Not) Fit All: Evidence Of Similarities And Differences Between Product Innovation Management In High- And Low-Tech Manufacturing Firms," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 23(01), pages 1-30, January.
    15. Vafeas, Mario & Hughes, Tim, 2021. "Inertia, boredom, and complacency in business-to-business relationships: Identifying and interpreting antecedents and manifestations," Journal of Business Research, Elsevier, vol. 130(C), pages 210-220.
    16. Oliveira, Luis & Johanson, Martin, 2021. "Trust and firm internationalization: Dark-side effects on internationalization speed and how to alleviate them," Journal of Business Research, Elsevier, vol. 133(C), pages 1-12.
    17. Fossas-Olalla, Marta & Minguela-Rata, Beatriz & López-Sánchez, José-Ignacio & Fernández-Menéndez, José, 2015. "Product innovation: When should suppliers begin to collaborate?," Journal of Business Research, Elsevier, vol. 68(7), pages 1404-1406.
    18. Wang, Lei & Jiang, Fuming & Li, Jun & Motohashi, Kazuyuki & Zheng, Xiaosong, 2019. "The contingent effects of asset specificity, contract specificity, and trust on offshore relationship performance," Journal of Business Research, Elsevier, vol. 99(C), pages 338-349.
    19. Basu, Shubhabrata & Aulakh, Preet S. & Munjal, Surender, 2021. "Pluralistic ignorance, risk perception, and the governance of the dark side in peer-to-peer transactions: Evidence from the Indian banking industry," Journal of Business Research, Elsevier, vol. 129(C), pages 328-340.
    20. Emma L. Hitchen & Petra A. Nylund & Eric Viardot, 2017. "The Effectiveness Of Open Innovation: Do Size And Performance Of Open Innovation Groups Matter?," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 21(03), pages 1-24, April.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chao-Hung Wang & Kuan-Liang Chen, 2018. "Do Relationships have a Dark Side for Innovation Performance in the High-Tech Industry?," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 15(02), pages 1-22, April.
    2. Thomas Mellewigt & Glenn Hoetker & Martina Lütkewitte, 2018. "Avoiding High Opportunism Is Easy, Achieving Low Opportunism Is Not: A QCA Study on Curbing Opportunism in Buyer–Supplier Relationships," Organization Science, INFORMS, vol. 29(6), pages 1208-1208, December.
    3. Gatignon, Aline & Gatignon, Hubert, 2010. "Erin Anderson and the Path Breaking Work of TCE in New Areas of Business Research: Transaction Costs in Action," Journal of Retailing, Elsevier, vol. 86(3), pages 232-247.
    4. Lumineau, Fabrice & Jin, Jason Lu & Sheng, Shibin & Zhou, Kevin Zheng, 2022. "Asset specificity asymmetry and supplier opportunism in buyer–supplier exchanges," Journal of Business Research, Elsevier, vol. 149(C), pages 85-100.
    5. Brian R. Murtha & Goutam Challagalla & Ajay K. Kohli, 2011. "The Threat from Within: Account Managers' Concern About Opportunism by Their Own Team Members," Management Science, INFORMS, vol. 57(9), pages 1580-1593, February.
    6. Qiong Wang & Ujwal Kayande & Sandy Jap, 2010. "The Seeds of Dissolution: Discrepancy and Incoherence in Buyer-Supplier Exchange," Marketing Science, INFORMS, vol. 29(6), pages 1109-1124, 11-12.
    7. Leinan Zhang & Qingyan Zeng & Silin Zhang & Shuqin Li & Liang Wang, 2022. "Transaction-Specific Investment and Organizational Performance: A Meta-Analysis," Sustainability, MDPI, vol. 14(9), pages 1-18, April.
    8. Dalsace, Frédéric & Jap, Sandy, 2017. "The friend or foe fallacy: Why your best customers may not need your friendship," Business Horizons, Elsevier, vol. 60(4), pages 483-493.
    9. Andaç T. Arıkan, 2020. "Opportunism is in the Eye of the Beholder: Antecedents of Subjective Opportunism Judgments," Journal of Business Ethics, Springer, vol. 161(3), pages 573-589, January.
    10. Lauren Skinner Beitelspacher & Thomas L. Baker & Adam Rapp & Dhruv Grewal, 2018. "Understanding the long-term implications of retailer returns in business-to-business relationships," Journal of the Academy of Marketing Science, Springer, vol. 46(2), pages 252-272, March.
    11. John M. de Figueiredo & Brian S. Silverman, 2017. "On the Genesis of Interfirm Relational Contracts," Strategy Science, INFORMS, vol. 2(4), pages 234-245, December.
    12. Anjana Susarla & Anitesh Barua, 2011. "Contracting Efficiency and New Firm Survival in Markets Enabled by Information Technology," Information Systems Research, INFORMS, vol. 22(2), pages 306-324, June.
    13. Tor Helge Aas & Karl Joachim Breunig & Katja Maria Hydle, 2017. "Exploring New Service Portfolio Management," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 21(06), pages 1-31, August.
    14. Małgorzata Wiścicka-Fernando & Sandra Misiak-Kwit & Kelaniyage Shihan Dilruk Fernando, 2019. "Co-Creation as an Innovative Way to Develop an Enterprise—Cross-Country Analysis," Sustainability, MDPI, vol. 11(23), pages 1-13, November.
    15. Jugend, Daniel & da Silva, Sérgio Luis & Salgado, Manoel Henrique & Miguel, Paulo Augusto Cauchick, 2016. "Product portfolio management and performance: Evidence from a survey of innovative Brazilian companies," Journal of Business Research, Elsevier, vol. 69(11), pages 5095-5100.
    16. Wilfred Amaldoss & Richard Staelin, 2010. "Cross-Function and Same-Function Alliances: How Does Alliance Structure Affect the Behavior of Partnering Firms?," Management Science, INFORMS, vol. 56(2), pages 302-317, February.
    17. Sande, Jon Bingen & Haugland, Sven A., 2015. "Strategic performance effects of misaligned formal contracting: The mediating role of relational contracting," International Journal of Research in Marketing, Elsevier, vol. 32(2), pages 187-194.
    18. Peres, Renana & Muller, Eitan & Mahajan, Vijay, 2010. "Innovation diffusion and new product growth models: A critical review and research directions," International Journal of Research in Marketing, Elsevier, vol. 27(2), pages 91-106.
    19. Steven M. Shugan, 2007. "Editorial—The Anna Karenina Bias: Which Variables to Observe?," Marketing Science, INFORMS, vol. 26(2), pages 145-148, 03-04.
    20. Barry L. Bayus, 2013. "Crowdsourcing New Product Ideas over Time: An Analysis of the Dell IdeaStorm Community," Management Science, INFORMS, vol. 59(1), pages 226-244, June.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jbrese:v:65:y:2012:i:7:p:1025-1030. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/jbusres .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.