How to manage a relationship and be successful: A study of the network and buyer-supplier relationship in the Dutch potted flower and plant industry

In this article, we propose that considering network connections in the studies of buyer-supplier relationships allow a more refined understanding of relationship management. We surveyed the relationship between distributors and growers. In the estimated models, we found several impacts of the information from the business network on the relationship management. The collaborative, long-term relationship appears to lead to success (operational and financial). While the successful distributors engage in joint action and invest in specific assets to achieve high performance, the successful growers trust the distributors and are flexible. Managers may use our study and its empirical evidence as a check on the adequacy of their existing business network and the design of the relationship.