Exploring quality generating factors in customer-supplier relationships

The analysis of interorganizational relationships continues to attract academic research because of the influence that management of supply chain relationships has in business competitiveness. However, there are almost no studies about this decision in the mineral products industry. The purpose of this study is to investigate customer-supplier relationships in the non-metallic mineral products mining and manufacturing industry in order to determine what relational forms enable achieving better business competitiveness and higher quality relationships. To carry out this research, we propose a cohesive model comprising variables to characterize the transactions, the forms of governance and both economic and relational results. The paper is based on a transactional framework; thus, the adoption of one or another form of governance is addressed through the length of the relationship, the transmission of information and the dependencies between the agents. As for the outcome, the quality of the relationship is highlighted because of its importance in business competitiveness. The relational quality is understood as the stability of the relationship or the importance given by the buyer to maintaining the relationship or relational commitment. The hypotheses generated are contrasted by a structural equation model in a sample of 293 Spanish companies. The results confirm the importance of past relationships and integrated forms to get better results. In this sense, managers should encourage trust and dependencies because they positively affect performance. Trust and dependencies determine the choice of a vertical form of governance, and these factors, along with information, intervene in the quality of business relationships. Thus, it is possible to say that forms of governance do have effects on the interrelations between the characteristics of the transactions and the business performance.