The authors report the findings o f a study conducted among a sample o f 202 Hong Kong-based Chinese importing companies regarding their working relationships with Western export manufacturers. In particular, the study emphasizes
the effect o f interpersonal factors on financial performance through the intervening roles o f intercompany trust and relationship quality. Using structural equation modeling, the authors confirm that (1) several interpersonal relational
dimensions—namely, personal communication (sijiao,), personal credibility (xinyongj, and personal affection fganqingj—positively influence interfirm trust; (2) trust plays an instrumental role in enhancing the components o f the interfirm relationship quality (i.e., cooperation, commitment, and satisfaction); (3) interfirm relationship quality is positively related to superior financial performance; and (4) most o f the associations between each o f the interpersonal factors and interfirm trust were moderated by the importer’s size and foreign supplier’s origin as well as by the length of the relationship and which party initiated the relationship. The authors extract several conclusions and implications from the findings and provide directions for further research.
The authors report the findings o f a study conducted among a sample o f 202 Hong Kong-based Chinese importing companies regarding their working relationships with Western export manufacturers. In particular, the study emphasizesthe effect o f interpersonal factors on financial performance through the intervening roles o f intercompany trust and relationship quality. Using structural equation modeling, the authors confirm that (1) several interpersonal relationaldimensions—namely, personal communication (sijiao,), personal credibility (xinyongj, and personal affection fganqingj—positively influence interfirm trust; (2) trust plays an instrumental role in enhancing the components o f the interfirm relationship quality (i.e., cooperation, commitment, and satisfaction); (3) interfirm relationship quality is positively related to superior financial performance; and (4) most o f the associations between each o f the interpersonal factors and interfirm trust were moderated by the importer’s size and foreign supplier’s origin as well as by the length of the relationship and which party initiated the relationship. The authors extract several conclusions and implications from the findings and provide directions for further research.
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