Contingent effects of close relationships with suppliers upon independent restaurant product development: A social capital perspective |
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Affiliation: | 1. Department of Leisure, Hospitality & Tourism Management, Makerere University Business School, Plot M118, Portbell Road, P.O. Box 1337, Kampala, Uganda;2. Department of Marketing and International Business, Makerere University Business School, Plot M118, Portbell Road, P.O. Box 1337, Kampala, Uganda;3. Faculty of Graduate Studies and Research Centre, Makerere University Business School, Plot M118, Portbell Road, P.O. Box 1337, Kampala, Uganda;4. Procurement and Logistics Management, Makerere University Business School, Plot M118, Portbell Road, P.O. Box 1337, Kampala, Uganda;5. Psychology and Director of PhD Programme, Makerere University Business School, Plot M118, Portbell Road, P.O. Box 1337, Kampala, Uganda |
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Abstract: | Despite recommendations that the restaurant industry more readily engage suppliers within their operations in order to expand capabilities, associations with restaurant business performance and supplier relationships remain unexplored in today’s current restaurant literature. This study assessed restaurant-supplier relationships from the social capital perspective and evaluated roles social capital played in product enhancement and new product development within the independent restaurant context. Results demonstrated that independent restaurant product enhancement was positively and linearly associated with social capital derived from restaurant-supplier relationships. Results also found that building social capital within restaurant-supplier relationships positively influenced new product development, but when taken to an extreme, it exhibited a negative association through an inverted curvilinear effect. Results provide new insights for future research and practice regarding independent restaurant supply management practices. |
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Keywords: | Independent restaurants Restaurant-buyer relationships Social capital Product enhancement New product development Inverted curvilinear relationships |
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