7. Conclusions
7.1. Implications
This study reveals several important theoretical implications. First, it contributes to the literature on business relationships by highlighting the curvilinear effects of supplier's relationship marketing programs. Although most previous studies found positive linear effects of relationship investments on performance (Ganesan, 1994; Palmatier, Dant, et al., 2006), this study finds curvilinear effects of social programs and financial programs on value asymmetry. These ambivalent effects of relationship investments support the argument of Anderson and Jap (2005) that “the very factors that make partnerships with customers or suppliers beneficial can leave those relationships vulnerable to deterioration” (p.75). To develop close relationships, buyers and suppliers are often unable to expand the size of the benefit “pie” unless they make unique investments, such as relationship marketing programs, to support the relationship. Our study confirms that these investments in financial programs indeed help to expand the relationship value “pie”; however, they also become the doorway through which relationships become vulnerable to deterioration (Anderson & Jap, 2005) when they give rise to relationship value for the invested-in party, the buyer, at the expense of relationship value for the investing party, the supplier. Second, this study extends the relationship value literature by considering both RVS and its distribution in the dyad. While previous studies focus only on how relationship marketing programs can create value (Palmatier, Gopalakrishna, and Houston, 2006), this study makes an important implication that bilateral perspectives on relationship value presents a more complete and comparative view of relationship value perceptions than a unilateral perspective (Corsaro & Snehota, 2010). Relationship marketing programs can increase value creation and simultaneously contribute to asymmetry in relationship value distributed to suppliers and buyers. This implication underscores the need for relationship value research to pay more attention to how relationship marketing efforts affect both value creation and its distribution.