THE EFFECT OF RELATIONSHIP VALUE ON TRUST IN SUPPLIER AND BUYER RELATIONSHIPS IN SMEs

Abstract

The research focused on an examination of the effect of value on trust in supplier and buyer relationships in SMEs in Thailand. It aimed to investigate the factors involved in trust, and also to develop a model of trust for these relationships.This research is embedded in a survey method. It included a pilot test using undergraduate business students at UdonThaniRajabhat University for pre-testing questionnaire items. 390 simple-random sampleswere drawn from Thailand enterprises. Quantitative data was analyzed with statistical techniques such as exploratory factor analysis, confirmatory factor analysis and structural equation modeling. The results found from the study are that the model of trust in the supplier and buyer relationships includes trust, satisfaction, commitment, andrelationship value dimensions. Trust is impacted by satisfaction which in turn is influenced by relationshipvalue. The managerial implications are discussed.