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Environmental impacts on the power-conflict relationship in channels of distribution

Young Kyun Lim, University of Nebraska - Lincoln

Abstract

The present study examines the impact of the environment on channel structure and process, especially on the power-conflict relationship. Based on Aldrich's (1979) conceptualizations, the environment is characterized by six dimensions: capacity, stability, turbulence, homogeneity, concentration, and domain consensus. Considered as mediating the effects of these dimensions on power and conflict are perceived environmental uncertainty, channel structure, and commitment to channel relationship. The analysis of causal relationships among constructs was based on the survey responses of 200 automobile dealers located in 112 SMSAs. Structural equation models using LIREL VI were used for testing the adequacies of measurement and structural models. The results indicate that environmental dimensions affect the power-conflict relationship through perceived environmental uncertainty, channel structure, and commitment. More specifically, environmental capacity, turbulence, and domain consensus were found to affect perceived uncertainty. Perceived uncertainty, in turn, was found to determine channel structure and the activation of bases of power. The activation of bases of power was also directly influenced by structural variables such as formalization and centralization. In general, channel complexity was not a good predictor of bases of power and conflict. Commitment to the channel relationship was found to decrease the level of conflict. The moderating effects of commitment on the power-conflict relationship were not supported. Contrary to expectations, no significant effects on conflict were found for the individual bases of power. Discussion of the results and several research and managerial implications along with the limitations of the present study are also provided.

Subject Area

Marketing|Management

Recommended Citation

Lim, Young Kyun, "Environmental impacts on the power-conflict relationship in channels of distribution" (1988). ETD collection for University of Nebraska-Lincoln. AAI8824941.
https://digitalcommons.unl.edu/dissertations/AAI8824941

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