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The evolution of relationship marketing

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  • Sheth, Jagdish N.
  • Parvatiyar, Atul
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    Abstract

    Relationship Marketing is emerging as a new phenomenon. However, relationship oriented marketing practices date back to the pre-Industrial era. In this article, we trace the history of marketing practices and illustrate how the advent of mass production, the emergence of middlemen, and the separation of the producer from the consumer in the Industrial era led to a transactional focus of marketing. Now, due to technological advances, direct marketing is staging a comeback, leading to a relationship orientation. The authors contend that with the evolution of Relationship Marketing, the hitherto prominent exchange paradigm of marketing will be insufficient to explain the growing marketing phenomena of collaborative involvement of customers in the production process. An alternate paradigm of marketing needs to be developed that is more process rather than outcome oriented, and emphasizes value creation rather than value distribution.

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    Bibliographic Info

    Article provided by Elsevier in its journal International Business Review.

    Volume (Year): 4 (1995)
    Issue (Month): 4 ()
    Pages: 397-418

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    Handle: RePEc:eee:iburev:v:4:y:1995:i:4:p:397-418

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    Related research

    Keywords: Relationship Marketing Relational Orientation Transaction Orientation;

    References

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    1. Spekman, Robert E., 1988. "Strategic supplier selection: Understanding long-term buyer relationships," Business Horizons, Elsevier, vol. 31(4), pages 75-81.
    2. Gronroos, Christian, 1990. "Relationship approach to marketing in service contexts: The marketing and organizational behavior interface," Journal of Business Research, Elsevier, vol. 20(1), pages 3-11, January.
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    Cited by:
    1. Abosag, Ibrahim & Lee, Joong-Woo, 2013. "The formation of trust and commitment in business relationships in the Middle East: Understanding Et-Moone relationships," International Business Review, Elsevier, vol. 22(3), pages 602-614.
    2. Gruen, Thomas W., 1997. "Relationship marketing: the route to marketing efficiency and effectiveness," Business Horizons, Elsevier, vol. 40(6), pages 32-38.
    3. Isabelle Prim-Allaz & Jean Perrien & Bernard Pras, 2001. "Les Apports De La Theorie Du Contrat Social A L'Explication Des Ruptures De Relations De Long Terme Entre Organisations : Une Application Aux Relations Banques/Pme," Post-Print halshs-00471160, HAL.
    4. Naidu, G. M. & Parvatiyar, Atul & Sheth, Jagdish N. & Westgate, Lori, 1999. "Does Relationship Marketing Pay? An Empirical Investigation of Relationship Marketing Practices in Hospitals," Journal of Business Research, Elsevier, vol. 46(3), pages 207-218, November.
    5. Celuch, Kevin G. & Bantham, John H. & Kasouf, Chickery J., 2006. "An extension of the marriage metaphor in buyer-seller relationships: An exploration of individual level process dynamics," Journal of Business Research, Elsevier, vol. 59(5), pages 573-581, May.
    6. Teerling, M.L. & Huizingh, Eelko K.R.E., 2006. "Exploring the concept of web site customization: applications and antecedents," Research Report 06F07, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
    7. Fábio Vinicius de Macedo Bergamo & Antonio Carlos Giuliani & Silvia Helena Carvalho Ramos Valladao de Camargo & Felipe Zambaldi & Mateus Canniatti Ponchio, 2012. "Student loyalty based on relationship quality: an analysis on higher," Brazilian Business Review, Fucape Business School, vol. 9(2), pages 26-46, April.
    8. Lages, Carmen & Lages, Cristiana Raquel & Lages, Luis Filipe, 2005. "The RELQUAL scale: a measure of relationship quality in export market ventures," Journal of Business Research, Elsevier, vol. 58(8), pages 1040-1048, August.
    9. Samiee, Saeed & Walters, Peter G. P., 2003. "Relationship marketing in an international context: a literature review," International Business Review, Elsevier, vol. 12(2), pages 193-214, April.
    10. Gebauer, Heiko & Gustafsson, Anders & Witell, Lars, 2011. "Competitive advantage through service differentiation by manufacturing companies," Journal of Business Research, Elsevier, vol. 64(12), pages 1270-1280.
    11. Sichtmann, Christina & Griese, Ilka & Klein, Maren, 2007. "Determinants of the international performance of services: a conceptual model," Discussion Papers 2007/17, Free University Berlin, School of Business & Economics.
    12. Luk, Sherriff T. K. & Fullgrabe, Lorna & Li, Stephen C. Y., 1999. "Managing Direct Selling Activities in China: A Cultural Explanation," Journal of Business Research, Elsevier, vol. 45(3), pages 257-266, July.
    13. Dancho Danchev, 2007. "The Chinese Approach to the Relationship Marketing (GUANXI)," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 3, pages 65-93.
    14. Gidhagen, Mikael, 1998. "Insurance marketing : services and relationships," Working Papers 1998:4, Uppsala University, Department of Business Studies.
    15. P. Van Kenhove & K. De Wulf & D. Van Den Poelt, 2003. "Does Attitudinal Commitment to Stores Always Lead to Behavioral Loyalty? The Moderating Effect of Age," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 03/168, Ghent University, Faculty of Economics and Business Administration.
    16. Paulssen, Marcel, 2004. "Satisfaction and Interpersonal Closeness as Determinants of Relationship Commitment in Business-to-Business Relationships," Papers 2004,06, Humboldt-Universität Berlin, Center for Applied Statistics and Economics (CASE).
    17. Miyamoto, Tadayuki & Rexha, Nexhmi, 2004. "Determinants of three facets of customer trust: A marketing model of Japanese buyer-supplier relationship," Journal of Business Research, Elsevier, vol. 57(3), pages 312-319, March.
    18. Andersson, Per & Molleryd, Bengt, 1999. "Channel Network Change and Behavioral Consequences of Relationship Connectedness," Journal of Business Research, Elsevier, vol. 46(3), pages 291-301, November.
    19. Tongzon, Jose & Chang, Young-Tae & Lee, Sang-Yoon, 2009. "How supply chain oriented is the port sector?," International Journal of Production Economics, Elsevier, vol. 122(1), pages 21-34, November.
    20. Veloutsou, Cleopatra & Moutinho, Luiz, 2009. "Brand relationships through brand reputation and brand tribalism," Journal of Business Research, Elsevier, vol. 62(3), pages 314-322, March.
    21. Valta, Katharina S., 2013. "Do relational norms matter in consumer-brand relationships?," Journal of Business Research, Elsevier, vol. 66(1), pages 98-104.
    22. Lynch, J. & Mason, R.J. & Beresford, A.K.C. & Found, P.A., 2012. "An examination of the role for Business Orientation in an uncertain business environment," International Journal of Production Economics, Elsevier, vol. 137(1), pages 145-156.

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