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Power-dependence relations and interorganizational communication in marketing channels

Harold Frederick Koenig, University of Nebraska - Lincoln

Abstract

This research begins from the premise that research in marketing channels needs to consider extra-channel consequences of the supplier - retailer interaction, specifically, links or ties which retailers have to individuals outside the channel of distribution. This research surveyed managers of retail grocery stores regarding the channel relationship with their major supplier. The variables measured in the intrachannel relationship included the perceptions of the supplier's power sources, retailer dependence on the supplier, the retailer's perceived uncertainty, and the formalization and centralization of the supplier - retailer dyad. A variable new to channels research was included. The retailer's perception of the tie strength with the supplier was measured, as well as perceptions of tie strength to other retailers. It was hypothesized that the intrachannel relationship would influence the retailer's likelihood of interacting with other stores in the same metropolitan area. Further, the supplier - retailer relationship was hypothesized to impact the type of information received from other retailers, that is, whether information was old or redundant, or if new and unique information was obtained. To test these hypotheses, a sample of local retailers was included in the questionnaire. Retailers were asked to indicate which retailers they had communicated with in the past three months, and whether they had discussed specific topics. The results indicated that supplier - retailer tie strength in the channel was a significant addition to the model; it was not redundant nor a duplication of the existing variables, and it was related to other intrachannel variables. There was some question whether a "social system" would exist within a level of the channel. The answer in this sample is "yes," retailers have developed communication links with other organizations. Unfortunately, none of the variables which were hypothesized to explain that communication were significant. The major implications of this study are (1) tie strength within the channel is a relevant construct and should be further developed, and (2) communication among retailers occurs, but this research can not offer an explanation for the behavior.

Subject Area

Marketing

Recommended Citation

Koenig, Harold Frederick, "Power-dependence relations and interorganizational communication in marketing channels" (1989). ETD collection for University of Nebraska-Lincoln. AAI9004685.
https://digitalcommons.unl.edu/dissertations/AAI9004685

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