Customer attractiveness, supplier satisfaction and preferred customer status: a review and a cycle model

Holger Schiele, Jasper Veldman, L. Hüttinger

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Abstract

In this paper, we introduce the concept of preferred customer status, i.e. a buyer is awarded preferential treatment of its important suppliers compared to their other customers. As there is a lack of knowledge of what motivates suppliers to serve selected buyers better than others, our research focuses on the suppliers’ evaluation of customers and how it can be influenced by buyers. Based on social exchange theory, we provide a conceptual model which proposes customer attractiveness, supplier satisfaction and knowledge of alternative customers as factors influencing suppliers to award preferred customer status. Subsequently, a literature review is provided to give an overview of the drivers of customer attractiveness, supplier satisfaction and preferred customer status already analysed in current literature. We conclude by providing a preliminary conceptual framework and suggesting future research directions in this field. This article proposes new insights into supplier relationship management and offers a state-of-the-art analysis as well as a theoretical base to this new research field.
Original languageEnglish
Number of pages50
Publication statusPublished - 31 Aug 2012
Event27th IMP Conference 2011 - University of Strathclyde Business School, Glasgow, United Kingdom
Duration: 31 Aug 20113 Sep 2011
Conference number: 27

Conference

Conference27th IMP Conference 2011
CountryUnited Kingdom
CityGlasgow
Period31/08/113/09/11

Keywords

  • IR-82735
  • METIS-291149

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    Schiele, H., Veldman, J., & Hüttinger, L. (2012). Customer attractiveness, supplier satisfaction and preferred customer status: a review and a cycle model. Paper presented at 27th IMP Conference 2011, Glasgow, United Kingdom.