STUDY OF POWER BALANCE AND CONFLICT IN AN INTERNATIONAL BUYER-SELLER (importer – exporter)… 1 answer below »

STUDY OF POWER BALANCE AND CONFLICT IN AN INTERNATIONAL BUYER-SELLER (importer – exporter) RELATIONSHIP (Seller perspective) In trying to understand the interactions of firms participating in the distribution of a given product; the channel may be viewed as a behavioral system. While the firms join for economic considerations, they behave, in a broader context, according to social imperatives; that is, as goal seeking, role-defining, power-exercising, and information-exchanging entities. The process of conflict, however, is penasive and inherent in channel systems characterized by behavioral interdependence for mutual ends. Exporter behavior remains a largely neglected area of study. Exporters are assumed to be the driving force behind international trade, which is a flawed assumption. Relationship quality refers to relationships developed beyond national boundaries. In an increasingly competitive global arena, exporting firms have to invest in relationships with their importers to ensure effective and profitable actions Unlike relationships in the domestic market, relationships developed with partners in foreign markets are influenced to a higher degree by dissimilar cultural, economic and other environmental factors Research Methodology Qualitative – Interviews of textile firm owners in India The questions for the interview are to be derived from the literature review. I will conduct the interviews in person while visiting India. The study is to be conducted from an exporter’s point of view (Indian textile firms). Exporting firms have to invest in relationships with their importers to ensure effective and profitable actions. The study is to focus on understanding power balance in an importer-exporter relationship, study the factors contributing to the balance of power. The study also explores the conflict in such a relationship, the factors contributing to conflict and how they are managed. Objectives of the Study: • To study about power and conflict in an international distribution channel. • To study about how power balance affects the exporter’s business (economic). • Examine the effects of relationship quality between exporter and importer on exporter performance. • Examine exporter behavior regarding conflict management.

 

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