Can trust moderate the relationship between supplier–buyer relationship and supply chain sustainability?

Abstract

PurposeThis study aims to assess the effect of supplier–buyer association on supply chain sustainability using the pharmaceutical industry in Ghana as a case study.Design/methodology/approachThe study used a quantitative research approach. The study design was a cross-sectional survey design. The unit of analysis for the study was top-level managers of pharmaceutical companies in Ghana. By the use of the purposive and convenience sampling techniques, 90 respondents from pharmaceutical firms in Ghana were included. The study used descriptive statistics, t-test and regression tools in the data analysis.FindingsIt was discovered that trust mediates positively the relationship between supplier–buyer relationship and supply chain sustainability. Moreover, the study found that supplier–buyer relationship (SBR) has a significant and positive impact on supply chain sustainability.Practical implicationsThe study concluded that SBR is the foundation upon which effective supply chain and supply chain sustainability are established.Originality/valueThis paper provides researchers with a contemporary perspective toward understanding the relationship between SBR and supply chain sustainability and the mediating role of trust.