Relationship quality as the predictor of long term relationship in the Malaysian dairy industry
AbstractDairy market in Malaysia has been increasing due to high income and population growth in the region. In response to the increasing demand, milk processors need to obtain constant milk supplies from the dairy farmers. One way of doing this is when the buyers and the sellers build and maintain quality relationships in order to enhance long term sustainability of the milk supply. This paper examines the determinants of relationship quality and its role in enhancing long term relationship between the Malaysian milk processors and dairy farmers. The study revealed that where as mutuality and price satisfaction influence the perceived relationship quality of the farmers positively; dependency and price flexibility do not. Furthermore, the perceived relationship quality of the farmers has a positive influence on long term orientation of the relationship.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 24420.
Date of creation: 17 Dec 2009
Date of revision:
Long term relationships; Relationship Quality; Dairy Industry; Malaysia;
Find related papers by JEL classification:
- L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation
This paper has been announced in the following NEP Reports:
- NEP-AGR-2010-08-21 (Agricultural Economics)
- NEP-ALL-2010-08-21 (All new papers)
- NEP-SEA-2010-08-21 (South East Asia)
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