Manufacturers' Representative-Principal Relationship Management: A Principal Leadership Style and Support Perspective

Firms deploying a network strategy frequently adopt a relationship marketing orientation necessitating that they cultivate close relationships with independent firms performing business functions on their behalf. We consider this context by examining the influence of manufacturer conduct on satisfaction of manufacturers' representatives contractually handling their sales function. The manufacturer, termed the principal, determines the quality of sales support and affects the nature of interactions with the representative. For that reason, principals' support quality and leadership styles were assessed using a survey of manufacturers' representatives. These factors and interrelationships are modeled to provide a "road map" for principals wishing to influence the satisfaction of manufacturers' representatives.