Turning Conflict into Value: How Conflict-based experiential learning Shapes Relationship Quality and Reduces Emotional Conflict in International Channel Relationships

The conflict between manufacturers and foreign distributors has gained increasing attention from both scholars and professionals in international marketing. While previous research primarily focuses on the conflict elimination perspective, little is known about how channel members learn from such conflict experiences from a conflict-based learning perspective. Drawing on relationship learning theory and the dynamic capability perspective, this study examines the antecedents and consequences of conflict-based experiential learning on the relationship between manufacturers and foreign distributors. Based on survey data from 147 Taiwanese manufacturing firms, the results indicate that long-term orientation (LTO), relational norm of flexibility, and relationship termination costs positively affect conflict-based experiential learning. Additionally, conflict-based experiential learning is associated with higher relationship quality and lower levels of emotional conflict. These findings underscore the constructive potential of conflict as a source of relational learning and offer new insights into the management of international channel partnerships. By focusing on conflict-based learning, this study advances the understanding of channel relationships and highlights how firms can turn conflict into relational value. JEL classification numbers: M16, M31.