Hierarchy Structural Model of B2b Marketing Strategic In Manufacturer-Retailer Relationship Using Analytical Hierarchy Process (AHP)

Abstract

The business environment is undergoing dynamic changes such as the increased competition and the development of new technologies. Companies have been increasingly interested in improving their business performance. In the literature on B2B markets there is a high-level agreement that principal's performance can be improved towards holding fewer and closer relationships. Increasing long term relationships represents a starting point for competitive advantage. Research and practice on marketing channel management have proven the importance of managing relationships between people or organizations which is carry out the distribution function (Stern, Louis W and Weitz, 1997). A value has always been the fundamental basis for all marketing activities (Palmatier, 2008). In fact, it is essential to know how to create and deliver value in the relationship, from both point of view, the manufacturer and retailer (Ulaga and Eggert, 2005). The main objective of this research is to obtain a clearer picture of the problems of the situation in the relationship between principal and retailer and plan a collaborative relationship strategy. Analytical Hierarchy Process (AHP) approach used to determine priorities from various alternatives strategies. The most important thing is to determine the priority order of strategies and formulate policies concerning business competition. This study's managerial implication implied that workers and business actors, and policymakers in the trade sector in the paint and building materials industry could get a rich picture of creating an ideal competitive situation between small and medium business owners and retail network businesses. Keywords: Analytical Hierarchy Process, B2B Relationship, Collaboration, Retailer, Strategy