Trust types, distrust, and performance outcomes in small business relationships: the pharmacy--drug warehouse case

Ayşe Elif Şengün and S. Nazlı Wasti

The Service Industries Journal, 2009, vol. 31, issue 2, 287-309

Abstract: This study attempts to investigate the linkage among trust types, distrust, and relationship performance outcomes in the context of long-term supply agreement-type alliances between small business dyads. The results suggest a significant positive relationship among goodwill trust and risk-taking tendency, cooperation, satisfaction, and conflict resolution and a negative relationship between goodwill trust and transaction costs. Competence trust is found to have a positive relationship with cooperation, conflict resolution, and satisfaction and a negative relationship with transaction costs. However, no significant relationship is found between competence trust and risk-taking tendency. Distrust, on the other hand, is found to have a negative relationship with cooperation, satisfaction, and conflict resolution and a significant positive relationship with transaction costs with no effect on risk-taking tendency.

Date: 2009
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Persistent link: https://EconPapers.repec.org/RePEc:taf:servic:v:31:y:2009:i:2:p:287-309

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DOI: 10.1080/02642060902759137

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The Service Industries Journal is currently edited by Eileen Bridges, Professor Domingo Ribeiro, Ronald Goldsmith, Barry Howcroft and Youjae Yi

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