FACTORS AFFECTING A LONG-TERM RELATIONSHIP BETWEEN A RETAILER AND A SUPPLIER

This study was conducted to identify, quantify, and assess the importance of factors affecting long-term relationship between sellers and buyers (or retailers) in two different stages: (i) the initial stage of a long-term relationship and (ii) the maintaining stage of a long-term relationship. The survey took place at Tan Binh Market in Ho Chi Minh City, one of a few biggest wholesale-retail market in Vietnam, in July 2014. The survey was conducted through direct interview with retailers using the questionnaire. Results from this study demonstrate that the “trust ” factor from retailers towards sellers, the supplier's commitment, retailer's dependence on vendors; and satisfaction with the retailers ’ previous business results have a positive impact on a long-term relationship between retailers and vendors in both stages. The study also proposes recommendations for suppliers and retailers operating at Tan Binh market, in particular; and in general for a wholesale market, the important factors in order to build, develop and maintain a long-term relationship based on the principle of mutual benefit in their business operations