Joint and interactive effects of trust and (inter) dependence on relational behaviors in long-term channel dyads

Abstract

The authors investigate the effects of trust on the relational behaviors of firms in long-term channel dyads across different interdependence structures. Based on the long-term nature of the empirical setting, trust is posited to exert a positive effect on the emergence of relational behaviors in all interdependence conditions. This positive effect of trust is hypothesized to be stronger in highly and symmetrically interdependent channel dyads than in low-interdependence-type symmetric dyads. In addition, for both relatively more dependent and relatively less dependent members of asymmetric dyads, the effect size of trust is hypothesized to increase as the perceived level of interdependence asymmetry increases. Data collected from automobile dealers in Turkey reveal that trust in the supplier has the strongest positive effect on the relational behaviors of dealers in asymmetric dealer-supplier dyads that perceive themselves relatively less dependent than their suppliers. For relatively more dependent dealers, trust is found to exert a modest positive effect. In symmetrically interdependent dealer-supplier dyads, trust exerts a modest positive effect on dealer relational behaviors in the low mutual dependence condition, and this effect size reduces to the point of nonsignificance in the high mutual dependence condition. Theoretical and managerial implications of these findings are discussed. (c) 2004 Elsevier Inc. All rights reserved.