RELATIONAL EXCHANGE AND CONFLICT BEHAVIOR: AN INVESTIGATION OF THEIR RELATIONSHIP TO HOSTILITY IN THE CONFLICT AFTERMATH (CONTRACT MARKETING LITIGATION)

This study extends the relational exchange theory of contracting behavior and integrates it into existing conflict theory. A model is proposed and hypotheses tested using a sample drawn from cases of contract litigation between customer and supplier organizations in channels of distribution and industrial markets.;The relational exchange framework provides a method for categorizing exchange relationships on the basis of their normative structure. The norms which characterize a highly relational structure reflect the development and relevance of a common social identity between the parties.;The proposed model relates the level of hostility a party retains subsequent to the ostensible termination of a conflict episode to the level of combativeness the other party has exhibited in his conflict behavior, and to the normative structure of their exchange relationship prior to the dispute. It is hypothesized: (1) the greater the perceived combativeness, the greater the residual hostility, (2) the more relational the exchange, the lower the residual hostility, and (3) the interaction of perceived combativeness and relationalism will be associated with greater residual hostility.;A sample was drawn from firms which were parties to recently terminated contract litigation. A survey methodology was employed. While the unit of analysis is the individual respondent, data were collected from multiple respondents within the firms and across the dyads. The multiple respondents were divided into three non-independent sample groupings which were used as a form of within study replication. Regression analysis and MANOVA were used to analyze the data.;While the sample was small (n = 32), there was some equivocal support for all three hypotheses. The strongest support was for the link between perceived combativeness and hostility. The weakest support was for the link between the interaction and hostility. It was significant in only one of the three sample groupings. The convergence of perceptions about the normative structure of the exchange was examined both within companies and across dyads. Substantial unexplained divergence was exhibited.