The power of perceived service quality in international marketing channels

Abstract

States that providing quality customer service is increasingly regarded as an important basis for establishing and maintaining solid and long‐term relationships between manufacturers and distributors in marketing channels. Discusses the results of a research project which was undertaken to study the relationship between perceived service quality, supplier power bases and perceived relationship strength in international marketing channels. Finds that two dimensions can be used for characterizing perceived service quality in international marketing channels: service elements controlled by intermediary personnel; and service elements controlled by management. Moreover reveals that perceived service quality is an important determinant of perceived relationship strength, in contrast to coercive power bases such as offering rewards or undertaking punitive action. Concludes that, particularly in long channel structures, perceived service quality forms an important marketing channel instrument for relationship marketing.