A Cross Cultural Comparison of the Use of Information Technology on Managing Relationships

2003 
Since the interaction approach (Hakansson 1982) was developed in the early 1980’s, as a framework for the study of business to business relationships there has been a rapid evolution in the use of IT worldwide which has been predicted to dramatically change how business is conducted (Key Note 2000). In this paper we report on a study designed to examine the impact IT is having on business relationships in two different countries, the United Kingdom and France. The results show that the penetration of IT is greater in France than the UK despite greater investment in the UK (www.eto.org.uk 2002). However, generally, British suppliers are more frequent users and believe IT to be more useful than do their French counterparts. Both French and British buyers are beginning to feel the effects of IT impacting their relationships as they feel there is a reduction in the need for visits. INTRODUCTION Hakansson and Snehota (1989) stated that business interactions and relationships do not occur in a vacuum but are inevitably influenced by the environment in which they take place. In addition they are also affected by the individual’s experience, personality, education and culture (Hakansson and Snehota 1989). These perceptions were not encompassed in the “classical” marketing approach or transaction economic theory. However, the importance of the interacting parties and the environment of the relationship were incorporated in to the interaction approach developed by the IMP group in the early 1980’s. It was recognised that people’s personalities, motivations, experiences and culture would influence episodes between organisations and that this was of importance when dealing with foreign companies (Hakansson 1982). Since the interaction approach was initially developed a number of changes have taken place in the business environment. Globalisation has increased and while some companies believe an awareness of cultural differences is necessary when dealing with foreign companies, others are of the view that cultural differences are decreasing and society is becoming homogenised. In addition to increasing globalisation there have been innovative developments in IT and a phenomenal increase in its use. However although IT is generally perceived to have improved a number of working practices, it is also thought that it may be having an adverse impact on communication (Rutter 1984, Tickle-Dengen and Rosenthal 1990, Morris, Nadler, Kurtzberg and Thompson 2000, Thompson and Nadler 2002) and consequently the establishment and maintenance of business relationships which are at the core of the interaction approach (Leek et al 2003).
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