Exploring Commitment and Dependency in Dyadic Relationships

This paper examines the constructs of supplier commitment and dependency, and reports the findings of a research investigation involving Medium Sized Enterprise suppliers and Multinational Enterprise buyers. Corresponding dyadic relationships are explored in order to obtain views concerning the Medium Sized Enterprises' commitment to and dependency on Multinational Enterprise buying firms, as perceived by both exchange parties. Whereas the findings confirm much of the existing mainstream literature that “hard” variables related to investments and co-ordinated manufacturing contribute to business relationships, we also discover that a “soft” side, much less emphasised in the literature and characterised by intangible measures, appears to play a significant role in the dyadic relationships evaluated in this study.