An exploration of social variables in the development and maintenance of business relationships with Libyan companies

The study was designed to explore the social variables that exist in the development and maintenance of business relationships with Libyan companies. It involves an investigation of the stages in the development of business relationships, and the mechanisms required to ensure these relationships are...

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Bibliographic Details
Main Author: Shaladi, B. A.
Published: University of Salford 2013
Subjects:
658
Online Access:http://ethos.bl.uk/OrderDetails.do?uin=uk.bl.ethos.588694
Description
Summary:The study was designed to explore the social variables that exist in the development and maintenance of business relationships with Libyan companies. It involves an investigation of the stages in the development of business relationships, and the mechanisms required to ensure these relationships are sustained. The variables and stages associated with business relationship development are essential features to be considered by all international businesses. International Business Relationship Development (IBRD) has attracted wide investigation by researchers over the last three decades. In this study of the issue, the interview method is employed with 17 Libyan companies in relationships with foreign companies in the context of the tourism industry. The researcher initially collected demographic information and then proceeded to gain in-depth data through the use of open-ended questions. After analysing the data gathered from the 17 Libyan companies and bearing in mind the suggested stages and variables connected with IBRD provided by a number of authors in the Literature Review, the researcher proposes a list of four factors (stages) and four variables associated with business relationships that are considered significant in the development of cross-cultural business relationships with Libyan companies. These factors and variables are useful to international companies seeking to do business with Libyan companies, and hence, make a contribution to the literature in the field. The four stages are identified as being: (1) pre-searching stage, (2) first contact stage, (3) development stage, and (4) end/ extension stage; and the four variables are: (1) cultural empathy, (2) job experience and trust, (3) obligation and commitment, and (4) job quality and communication. The study finds that it is very difficult for one party to end a relationship with another party that actually does a good job for it. The secret of partnership loyalty is doing what may be considered inconsequential things, but which are nonetheless, actually seen as major support in the eyes of the partnership. Such behaviour goes beyond the partnership’s expectation and, as a result, makes a big impact. Businesses need to have the imagination to find a continual stream of new and different initiatives. *T