Organizational buyers and conflict: The impact of conflict on ongoing and new purchasing situations

Social conflict is endemic to all human activity. In this study, we examine how conflict, as perceived by professional buyers, impacts their ongoing relationships with current suppliers as well as its effect on developing new supplier relations. The results indicate that affective (personality) conflict between the parties has a negative impact on both the buyer's decisions in choosing a new supplier and their decision to continue an existing relationship with a supplier. The impact of cognitive (idea) conflict seems to be mixed. In ongoing relationships, there is no impact, but in new choice purchase situations, higher levels of cognitive conflict are related to lower probability of getting a sale. The findings also reveal that having an approved supplier list lessens the negative effects of cognitive conflict in ongoing supplier relations.