Multidimensional Value Creation in Business Relationship Management Zoltán Veres – Erzsébet Hetesi – Márton Vilmányi University of Szeged

Value in b2b relationship Dimensions benefit sacrifice risk Types economic social

Value in b2b relationship Dynamic nature use of product (experience) long cooperation (process-like) phase-specific risk perception (risk funnel) shifts in internal preferences

Risk perception funnel for services

Research focus Project-like transactions risk-dominant value perception Network performance benefit-dominant value perception Loyalty strategies sacrifice-dominant value perception (investment into loyal relationship?)

Research Module 1. Methodology 60 IDIs with project suppliers and buyers topics: success in projects; real vs. presumed competences; ideal supplier; ideal buyer; risk-communication key terms: readiness to cooperate; long-term aspects in relationship management; understanding of partners; role of satisfaction and security

Research Module 1. Findings (risk management) asymmetry in competence and expectations high bilateral performance risk opportunism sleeping phase in relationship (discontinuity)

Research Module 2. Methodology 20 expert IDIs with partners in R&D cooperation Topics: interpretation of relationship performance financial aspects of relationship performance network aspects of relationship performance Key terms: result – process - capacity

Research Module 2. Findings (perceived benefits) Results: symmetry between supplier and buyer side Processes: partial symmetry Capacities: mutual learning Networking: easier access to markets; reputation

Research Module 3. Methodology qualitative exploration of loyalty dimensions telephone interviewing in industrial population on loyalty attitudes multistep MVA (N=105) factor analysis cluster analysis

Research Module 3. Findings 1st loyalty cluster: intensely loyal switch avoiders; risk based inertia 2nd loyalty cluster:moderately loyal between transactional and relationship preferences; instable loyalty 3rd loyalty cluster:“relationship fostering” psychological, emotional link; high frequency of personal interactions

Control research module (prestudy) series of expert interviews (16 pcs) to explore how clients’ loyalty clusters should be handled from a strategic point of view To reduce the risk of becoming “sluggish”, those who prefer a differentiated relationship strategy in cluster 1 consider it important to constantly demonstrate competencies. cluster 2 they try to shift to cluster 1, being more secure, e.g. by strengthening the activity link (e.g. joint R&D). cluster 3 can be managed through increased interactivity (e.g. KAM).

Conclusions In risk-dominant value perception the effectiveness of risk-communication depends on the interaction between real and presumed competences. In benefit-dominant value perception the perceived benefits of relationship performance are strongly influenced by network effects. In sacrifice-dominant value perception resources should be allocated only to those partners who themselves require long term cooperation. Personal relations substantially contribute to loyalty in a b2b context.

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