Negotiation Strategies, Fairness, And Contract Renewal In B2b Relationships

Despite the importance of negotiations in buyer-seller relationships, the impact of alternative negotiation strategies on relationship fairness has been largely overlooked. Filling this gap is important as relationship fairness has a significant influence on relationship continuity. This study addresses this gap by developing and testing a model through a survey on a sample of 275 firms purchasing advertising services from daily deal websites. The findings highlight that a problem-solving negotiation strategy positively influence both procedural and distributive fairness, while an aggressive negotiation strategy exerts negative effects. In turn, perceived fairness has a positive effect on the intention to continue the relationship. Overall, the results suggest that fairness plays a fundamental role during all relationship stages, from negotiation to distribution of the created value.