Identifying the positive sides of power use between (in)congruence in distributive fairness perception and supplier-buyer relationship quality

Abstract

Distributive fairness, considered as the subjective perception of outcomes or earnings received, is fundamental for developing long-term buyer-supplier relationships. Although distributive fairness is subjective and bilateral, studies on the effects of distributive fairness perception (DFP) (in)congruence between channel members remain scarce. To fill this gap, this study empirically investigates how buyer-supplier DFP (in)congruence influences relationship quality under the influence of the dominant supplier's power use in power- asymmetric relationships. Drawing on a survey of 342 supplier-buyer relationships in the cellphone industry, we found that similarities (and differences) in suppliers' and buyers' DFPs have consequential effects on suppliers' non-coercive power use and, ultimately, on buyers' attitudinal and behavioral responses. Supplier's non-coercive power use plays the role of responsibility when buyers' and suppliers' DFPs change from incongruence to congruence, and plays the role of control when buyers' and suppliers' DFPs change from low- to high-level congruence. In both situations, buyers' attitudinal and behavioral responses are positive. A polynomial regression and the response surface method were applied to analyze the results. This study enriches the channel research literature by adding the approach/inhibition of power theory and social psychology perspectives, and it sheds light on the buyer-supplier relationship from a dyadic perspective.