The Effect of Process Integration on Organizational Culture for Strategic Collaboration in Automobile Industry

Abstract

A strong partnership in new vehicle retail management is a long-term commitment made by automakers and dealers toward mutualbenefit. Manufacturers and dealers share a shared purpose in selling things, which makes everyone involved will benefit from acollaborative effort to sell a model automobile. This paper studies the aspects of trust that are built between the manufacturer and dealerwhich is affected by process integration, cultural understanding, and contract flexibility. The methodology followed was quantitative innature in which cross-sectional data from the same manufacturing company dyad was employed. The findings of the research show apositive association between process integration with cultural understanding and contract flexibility and together these affect the trust thatis built between the parties.