EXPLORING EFFECTIVENESS OF SOCIAL INTERACTION MODEL IN BUYER-SUPPLIER RELATIONSHIPS, BUYERS PERCPECTIVE

Abstract

Purpose- The purpose of this study was to explore the effectiveness of social interaction model in buyer-supplier relationships, for improving supply chain management performance, concentrating specifically on the oil marketing sector operating in Karachi. Methodology/sample- The study involved use of questionnaires, filled by 50 respondents, along with 05 structured interviews, using snow ball sampling. The respondent belonged to the supply chain of four selected oil marketing companies operating in Karachi. To analyze the data, regression, ANOVA and correlation tests were applied. Findings- The analysis and comparative results suggest that the variables of social interaction model have strong positive correlation with supplier- buyer relationship, it is further proven that the meaningful relationship in the social interaction model lead to improve supply chain management performance. Practical Implications- The outcomes of the research might help the corporate supply chain decision makers, to understand the impact of social interaction model on supply chain management performance. Further, it will help managers to identify the initiatives required in buyer-supplier relationships, for improving supply chain management performance. The approach could also be extended out to other sectors.