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THE PERCEPTIONS OF PARTNERS’ TRUSTWORTHINESS<br />

IN RUSSIAN-FINNISH BUSINESS<br />

Minna JUKKA<br />

Lappeenranta University of Technology,<br />

School of Business and Management, Lappeenranta, Finland.<br />

Abstract<br />

The perceived trustworthiness of business partners is a critical component of successful buyer–supplier<br />

relationships. However international business partners may perceive their partner’s trustworthiness differently.<br />

The aim of this study was to analyze how business partners participating in Russian-Finnish trade evaluate their<br />

business partner’s trustworthiness. The qualitative data was collected from interviews of 22 Russian and Finnish<br />

managers. Inductively formed trustworthiness categories were clustered, and the clusters were analyzed using<br />

conceptual maps. The main differences between the Finns and the Russians were Russian preference for personal<br />

connections, informal communication, fast reactions, emotions, transparency of partner’s expectations, and<br />

mutual benevolence. The Finns perceived the partner organization, instead of the key person, as the business<br />

partner. They emphasized rationality and punctuality. This study contributes to the literature on relationship<br />

marketing in the contexts of cross-cultural buyer-supplier relationships. It identifies the differences between<br />

trustworthiness perceptions of the Russian and Finnish business partners. As practical results informal<br />

communication, transparency in business expectations, flexibility, and favors could be ways to achieve trust in<br />

Russian business.<br />

Keywords: relationship marketing, trustworthiness, Russian-Finnish, buyer-supplier relationships.<br />

Introduction<br />

Relationship marketing can be defined as “all marketing activities directed towards establishing,<br />

developing, and maintaining successful relational exchanges” (Morgan & Hunt, 1994, 22). In<br />

this field, perceived trustworthiness is seen as a critical component of successful buyer–supplier<br />

relationships (Andersen, Christensen & Damgaard, 2009; Barney & Hansen, 1994; Dyer & Chu,<br />

2003). It has also been found to be a source of competitive advantage for companies (Barney &<br />

Hansen, 1994). However, in intercultural business relationships the different cultural<br />

backgrounds of partners could have an effect on trustworthiness perceptions. Partners coming<br />

from different cultures may perceive each other’s trustworthiness differently (Ari o et al.,<br />

1997). This study explores how Russian and Finnish industrial buyers and suppliers evaluate<br />

each other’s trustworthiness. The research question is: What are the trustworthiness<br />

perceptions of Russian and Finnish managers participating into Russian–Finnish trade?<br />

This study contributes the literature on relationship marketing in the contexts of cross-cultural<br />

buyer-supplier relationships by identifying the differences between trustworthiness<br />

perceptions of Russian and Finnish business partners.<br />

Theoretical background<br />

Trustworthiness as a predominant determinant of trust is accumulated perceptual experiences<br />

that lead to trust another person, institution or organization (Caldwell & Clapham, 2003).<br />

Trustworthiness of a person, group or organization is defined as a measure of their ability,<br />

benevolence and integrity perceived by the other party (Mayer, Davis, & Schoorman, 1995). In<br />

this study, the business partner’s trustworthiness is conceptualized more generally as a<br />

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