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RESEARCH PROPOSAL

The Interplay between Power and Commitment and its Impact on Relationship Success

Michael Cook (CKXMIC008)
Alice Cumming (CMMALI001)

Submitted in partial fulfillment towards the completion of BUS3008W in the School of Management Studies,
University of Cape Town

Supervisor:
Mrs E Botha

Date Submitted:
15 March 2010

PROPOSAL ASSESSMENT SHEET
ASPECT TO BE EVALUATED

WEIGHT

Technical care

10

Proposed title, abstract and keywords

5

Introduction

10

Literature review / Background

15

Research Question / Problem Statement and Objectives

10

Description of methodology

5

Project timeline and budget

5

SUB-TOTAL

60

Possible deductions:
– 10% per day or part thereof

Late submission:

Declaration regarding plagiarism and/or any specified
– 5% documents not included, completed and/or signed:
PERCENTAGE

100

COMMENTS:

ii

MARK ALLOCATED

ABSTARCT
The Biotechnology industry is important to the advancement of society. However the biotechnology sector in
South Africa has not been as successful as in other countries. One of the reasons that have been identified to explain this is the weak relationship between Academic researchers and government funding institutions like Cape Biotech. Of the various factors that influence business relationships, this study will single out
Power and Commitment. The aim of the study is to discover how the usage of formal and personal power as well as the distribution of power determines the type and level of commitment (Normative and
Instrumental) and the overall affect that this has on relationship success. Researchers from universities in the Western Cape will be surveyed using a questionnaire. The research will take the form of non-probability judgmental sampling. This study will therefore provide an understanding of the concepts and consequences of power and commitment and how they can be used to better the Cape

References: industry has not been functioning well over the past years (South Africa, 2001). The cause for concern is that research and development (R&D) is a stimulator of an economy in technology continuous R&D needs to be done (South Africa, 2001). In an attempt to stimulate the biotechnology sector the government has implemented the National Biotechnology Strategy (Mangena, producers (the performers of research) and users of knowledge (industry and Government)” (South Africa, 2001) Although existing research has looked at the various facets of commitment, power and relationship success (Chadwell et al, 1990; Cook and Wall, 1980; Harrigan, 1988; Mohr & Spekman, 1994; Wilson, 1995) this study will follow the work of Brown, Lusch, Nicholosn (1995). However it must be noted that Brown et al’s (1995) study of power and commitment was conducted on a marketing channel Brown et al (1995) found that power and commitment take on different forms. Brown et al (1995) found that the use of different forms of power (formal and personal) by one entity can either enhance or diminish the the relationship’s success (Brown et al, 1995). biotechnology industry. To support the development of such an industry they have initiated the National Biotechnology Strategy (Mangena, 2004) Regional Innovation Centres (BRICS) (Department of Science and Technology, 2010). These BRICS act as hubs for the development of biotechnology platforms, from which “businesses offering new products and services can be developed” (South Africa, 2001). Four BRICS have been established they are BioPAD, LIFElab, Plant Biotechnology Innovation Centre and Cape Biotech (Mediaclubsouthafrica.com, 2010) between producers (the performers of research) and users of knowledge (industry and Government).” (South Africa, 2001). 2.2 Relationship Success Relationship success has in the past been viewed as a function of continuation (Harrigan, 1988) definition has not captured the fact that many successful relationships have been purposively ended after a period of time (Hamel, Doz, & Prahalad, 1989) substantially Mohr and Spekman (1994) used two indicators of partnership success: an objective indicator (sales volume of sales between partners) and an affective indicator (satisfaction of one entity with the but the firms attribute the failure to an outside factor they can still be satisfied with their relationship (Kelley, 1972) relationship can be termed successful. Brown et al (1995) identified that the interplay between commitment and power has an impact on role performance (which is ultimately an indicator of relationship success). affect can be positive or negative and is moderated by the balance of power with the relationship (Brown et al, 1995). 2.3.1 Commitment Wilson (1995) and Friman et al (2000) say that commitment can be defined in terms of the importance of avoidance of punishment (Brown et al, 1995) has been termed as instrumental commitment (Gundlach, Achrol & Mentzer, 1995) commitment and lasts until the rewards sought are gained (Brown, et al 1995). However, commitment can also be motivated internally.