The More Trust the Better! Really?
SCM Research
JANUARY 2, 2017
We certainly all agree: Trust between supply chain partners has a lot of benefits. However, in their forthcoming study of trust in the buyer–supplier relationship , Villena and her co-authors argue that there is a “duality of trust”: Trust has benefits but it can also become dysfunctional if it is excessive. The results of their study show “that trust follows an inverted-U shape with performance”, i.e., at a certain point the negative effects offset the benefits of trust and performance declines
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