Gaps between the perceptions of buyers and suppliers concerning the ethicality of each other’s behavior might also negatively affect supplier performance. For example, reduced customer service and lower cost-effectiveness may occur as a result of less ethical activity in the relationship, as both sides may be less inclined to commit to and take a long-term perspective of the buyer–supplier relationship . (Chonko et al., 1996 ). Each side may attempt to suboptimize the position of the individual firm, at the expense of hurting the other party (Frazier et al., . 1988) and ultimately the supply chain as a whole (Houlihan, 1985; Ellram and Cooper, 1990; Ellram, . 1991 ). Thus, the following hypothesis stands: