Factors causing the termination of the relationship with suppliers

Fethi Calisir*, Cigdem A. Gumussoy

*Corresponding author for this work

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

1 Citation (Scopus)

Abstract

Over the past few years, firms have given more importance to the purchase-related decisions to gain competitive edge. Although great emphasis is given to the selection process of suppliers, commercial partnership may be terminated at a future date. This study, based on data from 66 automotive firms, examines factors affecting buyers' decision on the termination of the relationship with suppliers in the automotive industry. The results indicate that buyers rate 'supplier's disinterest' as the most influential construct of problems, and among the 25 individual problems, 'supplier firm does not make product deliveries in agreed time' is rated as the most influential problem to end commercial partnership. In addition, 'competitive firm's attraction level' is the only determinant of the probability of working again with the former supplier at a future date. Implications of these findings are discussed and further research opportunities described.

Original languageEnglish
Title of host publicationIEEM 2009 - IEEE International Conference on Industrial Engineering and Engineering Management
Pages1429-1433
Number of pages5
DOIs
Publication statusPublished - 2009
EventIEEE International Conference on Industrial Engineering and Engineering Management, IEEM 2009 - Hong Kong, China
Duration: 8 Dec 200911 Dec 2009

Publication series

NameIEEM 2009 - IEEE International Conference on Industrial Engineering and Engineering Management

Conference

ConferenceIEEE International Conference on Industrial Engineering and Engineering Management, IEEM 2009
Country/TerritoryChina
CityHong Kong
Period8/12/0911/12/09

Keywords

  • Automotive industry
  • Supplier relationship
  • Termination

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