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Working your Way in

Author

Listed:
  • Esther de Ruijter

    (Department of Sociology/ICS, Utrecht University, PO Box 80.140, 3508 TC Utrecht, The Netherlands; e.deruijter@fss.uu.nl)

  • Jeroen Weesie

    (ICS/Sociology, Utrecht University, PO Box 80.140. 3508 TC Utrecht, The Netherlands; j.weesie@fss.uu.nl)

Abstract

This article studies the influence of trust problems and social embeddedness on the behavior of home maintenance suppliers, especially (1) their efforts to convince households of their trustworthiness, and (2) whether or not they will behave opportunistically. Data were collected by means of a vignette experiment among 83 home maintenance suppliers, with a total of 165 vignettes. To some extent, the problem potential increases the efforts suppliers make to convince the household of their trustworthiness; a large transaction volume increases the amount of time spent on drawing up a quotation. Suppliers are more likely to behave opportunistically if more complex jobs are involved. Network embeddedness prevents opportunism and decreases the investments made in commitments, while dyadic embeddedness has no effect. Apparently, it is less important for suppliers to invest in dyadic relations than staying on good terms with people who can spread negative information about them to others.

Suggested Citation

  • Esther de Ruijter & Jeroen Weesie, 2007. "Working your Way in," Rationality and Society, , vol. 19(1), pages 35-64, February.
    • Handle: RePEc:sae:ratsoc:v:19:y:2007:i:1:p:35-64
    DOI: 10.1177/1043463106066378
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    References listed on IDEAS

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    1. Masten, Scott E. (ed.), 1996. "Case Studies in Contracting and Organization," OUP Catalogue, Oxford University Press, number 9780195092523.
    2. Esther de Ruijter & Tanja van der Lippe & Werner Raub, 2003. "Trust Problems in Household Outsourcing," Rationality and Society, , vol. 15(4), pages 473-507, November.
    3. Heide, Jan B. & Stump, Rodney L., 1995. "Performance implications of buyer-supplier relationships in industrial markets : A transaction cost explanation," Journal of Business Research, Elsevier, vol. 32(1), pages 57-66, January.
    4. Ronald S. Burt & Marc Knez, 1995. "Kinds of Third-Party Effects on Trust," Rationality and Society, , vol. 7(3), pages 255-292, July.
    5. Shelanski, Howard A & Klein, Peter G, 1995. "Empirical Research in Transaction Cost Economics: A Review and Assessment," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 11(2), pages 335-361, October.
    6. Werner, Raub & Keren, Gideon, 1993. "Hostages as a commitment device : A game-theoretic model and an empirical test of some scenarios," Journal of Economic Behavior & Organization, Elsevier, vol. 21(1), pages 43-67, May.
    7. Werner Raub, 2004. "Hostage Posting as a Mechanism of Trust," Rationality and Society, , vol. 16(3), pages 319-365, August.
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    Cited by:

    1. Colin C. Williams & Peter Rodgers, 2012. "Evaluating the persistence of subsistence work in contemporary economies," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 39(9), pages 721-737, July.

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