Initiating business relationships: Case NAPCON : A single case study on the dynamics of the relationship initiation process
Johansson, Joel (2019)
Johansson, Joel
Åbo Akademi
2019
Julkaisu on tekijänoikeussäännösten alainen. Teosta voi lukea ja tulostaa henkilökohtaista käyttöä varten. Käyttö kaupallisiin tarkoituksiin on kielletty.
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi-fe2019042913638
https://urn.fi/URN:NBN:fi-fe2019042913638
Tiivistelmä
Abstract:
Today’s business-to-business (B2B) environment is gradually evolving from traditional sales paradigms to more relationship, service, and solution-oriented sales. As these markets are becoming progressively relationship-oriented, firms need to move their main focus from processes of selling hardware, into developing and managing customer relationships. However, a significant challenge for many firms appears to be how to initiate relationships, in order to achieve competitiveness in the increasingly global and inter-linked business environments.
Initiation phase, in which relationships are formed, has received remarkably limited scientific attention and is still somewhat of an unclear phase of B2B relationship development. The existing literature has only provided fragmented knowledge on how this paradigm shift affects the crucial initiation phase of the buyer-seller relationships.
By examining the existing literature on relationship initiation, this study explores how and why business relationships are initiated and the dynamics that either hinder or facilitate the process. The concept of business networks is also integrated into the relationship initiation perspective, as business networks are an integral part of any industrial B2B market.
In the thesis, a qualitative, intensive single case study was chosen as the methodological approach. Through the in-depth interviews with the case organization’s employees and customers, this study explores the initiation-related activities by examining them in a real-life business context. Based on these interviews, some key issues were identified regarding the case organization’s relationship initiation and customer acquisition practices. Mainly, the significance of trust, credibility, reputation and goal alignment are suggested as the main factors that either drive forward or hinder the initiation process. Meanwhile, e.g. perceived risk and a lack of trust were identified as the main barriers for the relationship initiation. The necessity to create and utilize social contacts and relationship networks was also highlighted, as a means to gain access to customer’s decision makers and to create new business opportunities. Furthermore, the findings provide various managerial implications that could be implemented to improve a firm’s competitiveness in future offerings.
Today’s business-to-business (B2B) environment is gradually evolving from traditional sales paradigms to more relationship, service, and solution-oriented sales. As these markets are becoming progressively relationship-oriented, firms need to move their main focus from processes of selling hardware, into developing and managing customer relationships. However, a significant challenge for many firms appears to be how to initiate relationships, in order to achieve competitiveness in the increasingly global and inter-linked business environments.
Initiation phase, in which relationships are formed, has received remarkably limited scientific attention and is still somewhat of an unclear phase of B2B relationship development. The existing literature has only provided fragmented knowledge on how this paradigm shift affects the crucial initiation phase of the buyer-seller relationships.
By examining the existing literature on relationship initiation, this study explores how and why business relationships are initiated and the dynamics that either hinder or facilitate the process. The concept of business networks is also integrated into the relationship initiation perspective, as business networks are an integral part of any industrial B2B market.
In the thesis, a qualitative, intensive single case study was chosen as the methodological approach. Through the in-depth interviews with the case organization’s employees and customers, this study explores the initiation-related activities by examining them in a real-life business context. Based on these interviews, some key issues were identified regarding the case organization’s relationship initiation and customer acquisition practices. Mainly, the significance of trust, credibility, reputation and goal alignment are suggested as the main factors that either drive forward or hinder the initiation process. Meanwhile, e.g. perceived risk and a lack of trust were identified as the main barriers for the relationship initiation. The necessity to create and utilize social contacts and relationship networks was also highlighted, as a means to gain access to customer’s decision makers and to create new business opportunities. Furthermore, the findings provide various managerial implications that could be implemented to improve a firm’s competitiveness in future offerings.