Discovering relational bonds in channel relationships: a case study of Malaysia

This study addresses the issue of relational bonding between retailers and suppliers within the grocery distribution channels in Malaysia. It reflects the relationship marketing concept in assessing in-terorganizational relationships. The importance of ‘guanxi’ or special relationship between channel members within the grocery distribution network in Malaysia is identified as a significant factor affecting channel interaction. The influence of the Chinese and their business philosophies are evident in the Malaysian grocery distribution channel. Business relationships between channel members require effective negotiation strategies and with the understanding of ‘guanxi’, the emphasis is on building long-term relationships to ensure continuous and profitable associations