Thus, we propose and test a model that places customer focus at the forefront of the
supply-chain system. Specifically, customer focus is proposed to drive supply-chain
relational capabilities and financial performance. In prior work, researchers have
empirically documented the relationships among purchasing, supply management,
and financial performance (e.g. Chen et al., 2004). Additionally, Hult et al. (2007)
proposed the notion of “strategic supply management” to explain how supply-chain
partners gain a sustainable competitive advantage. We extend this line of research by
empirically documenting the role of customer focus in fostering supply-chain relational
capabilities. The empirical context for our study is a sample of US manufacturing
firms and their relationships with supplier firms[2].