Procurement Process and Vulnerability Analysis

Topics: China, Interpersonal relationship, Culture of China Pages: 3 (702 words) Published: April 16, 2013
Procurement process and Vulnerability Analysis
There are main five dependence dimensions in the article--A typology of vulnerability scenarios towards suppliers and customers in supply chains based upon perceived time and relationship dependencies. The time dependence dimension refers to the instance when the companies have a time-based need or synchronization of their mutual business activities and the social dependence refers to the interaction between two companies, which is often based upon personal relationships.(Svensson Goran , 2002) So the business activities in the relationship between company and supplier can be affected by the social atmosphere and the personal chemistry between the involved executives.

China is a relationship-based countries, the personal relationships play an important role in people's social life. In the practice of corporate marketing, personal relationship with an important impact on the development of relations between companies. The scholar once did a research on the influence of personal relationships in the relationship between companies in Chinese society based on the Chinese culture. Koojaroenpaisan (1996) studied the impact of personal relationships Thailand Chinese supplier selection wholesalers. The personal relationship between the Malaysian Chinese buyers and sellers on their mutual trust had been examined by Armstrong & Yee in 2001. A fact is proved by the case studies making by Anton & Tony in 2002, the business relationships in China building in a deep personal relationship based on confidence. According to Zhuang guijun, compared relationship marketing in China with the West, the more emphasis were paid on the relations between private persons by Chinese. The private relationship between the person is the basis of establishment and development of relations between enterprises, the quality of the relationship between private make a significant impact on the quality of the relationship between enterprises, it can...
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