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THE DEATH OF A DYAD:THEORETICAL FRAMEWORK WITH AN EMPIRICAL ILLUSTRATION

Tahtinen, Jaana University of Oulu, Department of Economics 1

ABSTRACTThis research is about the dissolution of business relationships; what it is, why it happens, and how the change from extant relationship to dissolution happens. The research goal is to create an empirically grounded process model, through which to understand the reasons for and process of relationship dissolution. The research context is the relationship of a buyer and seller in tailored software acquisition, and it draws theoretically from Interaction and Network approaches.

This paper presents a preliminary framework of business relationship dissolution. The framework comprises four elements: a definition of a dissolved relationship, reasons for dissolution, factors attenuating the reasons, and a description of the dissolution process. A case-study is conducted to ground the model empirically. The preliminary framework is then confronted with empirical knowledge derived from the case-study and adjusted accordingly.

Jaana Tahtinen, University of Oulu, Department of Economics, P.O.Box 444, FIN- 90571 Oulu (Tel. +358 8 553 2920, fax +358 8 553 2906, email:jaana.tahtinen@oulu.fi)

556 ^iP> 14* IMP Annual Conference

1. INTRODUCTION

1.1 Research area

Of all the phases of a business relationship (e.g. Dwyer et al. 1987;

awareness, exploration, expansion, commitment and dissolution; also

Heide 1994, Rosson 1986), the dissolution phase has been studied least,

even though researchers have pointed out the need to do so (Dwyer et al.

1987, Halinen 1997, Hedaa 1993, Liljegren 1988). Some of the conceptual

relationship models do not even include a dissolution phase (see Frazier

1983, Frazier et al. 1988, Yorke 1990). On the other hand, it is

acknowledged that relationships have problems (Hakansson and Snehota

1995a). Moreover, Gronroos (1997) includes terminating relationships in

his definition of marketing. All this certainly indicates that the death of

dyads deserves more research.

As models of relationship development (e.g. Dwyer, Schurr and Oh

1987, Ford 1982, Liljegren 1988, Halinen 1997) lack a thorough

description of the dissolution phase, this research builds a model for

understanding relationship dissolution. It is empirically grounded using a

case study concerning a dissolving relationship in tailored software

acquisition. Relationship development is understood here as a neutral term,

having neither positive nor negative connotations.

This research also makes use of the Network Approach (e.g. Axelsson

and Easton 1992, Hakansson and Snehota 1995b, Mb'ller and Wilson

1995 a) viewing dissolving relationships as a part of a broader network of

relationships. Aside from just the focal actor, relationship dissolution also

affects the connected network of other actors and so changes the network

(Anderson et al. 1994, Halinen et al. 1995). The network itself also affects

the dissolving relationship (see also Felmlee et al. 1990, Kelley et al.

1983).

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1.2 Research design

Just as Easton (1995) urges researchers to explicitly state the underlying

assumptions and values that influence their decisions concerning research

strategy, I am trying to follow his advice. This research presents a matched

pair of epistemology and methodology (Easton 1995), namely scientific

realism and case research. The choices made concerning the research

strategy were made bearing in mind they would be consistent with the

principles of scientific realism (e.g. Lloyd 1988, Sayer 1992, Stockman

1983).

The purpose of this research is to build an empirically grounded process

model for understanding the dissolution of business relationships, in the

context of tailored software acquisition. A theoretical, tentative framework

will address the content, context and process of dissolution (Pettigrew

1990). The framework content describes what a relationship dissolution is.

By analysing the context of relationship dissolution, the reasons for

dissolution can be found. Reasons and attenuating factors are also

presented in the framework, since they not only affect relationship

development, but are also affected by it and the surrounding network. By

process I mean the nature, sequence and order of activities and events that a

relationship undergoes as it dissolves (Van de Ven 1992).

The process theory of dissolution explains how dissolution happens, how

an extant relationship changes to a dissolved one. Although the process is

modelled in stages, it does not imply that it always proceeds through all of

these stages or in that exact order. The stages are used to make this

complex process more comprehensible.

The data which empirically grounds the theoretical is collected using a

case study. There are several reasons why this research favours case study;

the research questions 'what, how and why' are posed; the researcher has

no control over events and the phenomena is in its real-life context (Yin

1989). Relationship dissolution is still a fairly new area of study, and

558 IIP 14* IMP Annual Conference

especially the process of dissolution requires theory building (Eisenhart

1989). Dissolution is a complex process embedded in context and cannot

therefore be studied outside its natural context (Bonoma 1985, Pettigrew

1992). A case study is thus seen as the appropriate method for conducting

this research.

As relationship dissolution is not an event but a process, this research

design takes a processual approach. A longitudinal case study method will

be applied to facilitate the attempt to establish causality (Halinen and

Tornroos 1995, Pettigrew 1992), in this case local causality between certain

factors or events and the dissolution of a business relationship. Causality is

understood here as a holistic explanation and thus neither linear or singular

(Pettigrew 1992). The aim is to understand events and processes occuring

more or less at the same time, and the interconnection between them

(Pettigrew 1992, Stake 1995).

The rich data collected in the case-study will also be utilised to find

alternative change theories (or motors of change) in ordet to avoid

simplification in explaining dissolution (Van de Ven 1992, Van de Ven and

Poole 1995, see also Halinen 1996). A two-step, template matching

approach will be applied to examine the forces influencing the dissolution

process (Van de Ven and Poole 1995). The a priori model of relationship

dissolution will thereafter be modified accordingly.

The empirical context of this research is the software industry and more

especially the production and marketing of tailored software in terms of a

relationship between a seller and buyer. There are several reasons to justify

the need to study relationships and their dissolution in a software context.

This type of professional service relies heavily on the interaction between

buyer and seller. In order to be able to produce customised software, the

seller must familiarise itself with the buyer company, its business and

personnel at a very early stage of the process. The software creation

process, which may last up to 3 years, involves continuous interaction with

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the buyer. In fact, the acquisition process can best be described as a

business relationship: it's interaction intensity creates activity links,

resource ties and actor bonds more typical to relationships in general. The

nature of the buyer-seller relationship in a customised software acquisition

may be described as close, continuous and complex (Peltola 1992).

2. THEORETICAL FRAMEWORK OF BUSINESS RELATIONSHIP DISSOLUTION

2.1 The outcome of the relationship dissolution process

To model the dissolution process, one needs to consider what its outcome

is, i.e. a dissolved business relationship. A clear process outcome also

reduces complexity in the research design (Pettigrew 1997). However, the

starting point of the dissolution process is also important. Unless there is a

relationship to begin with, no relationship dissolution process can take

place. So I shall first elaborate on what a business relationship is.

An agreed definition of what constitutes a buyer-seller relationship is

hard to find. Nor does the social-psychological literature on personal

relationships provide us with a definition that would be applicable to

relationships between firms (see Sheaves and Barnes 1996). H£kansson and

Snehota (1995a, p. 25) use the following, tentative definition of a business

relationship: 'a mutually oriented interaction between two reciprocally

committed companies' and later on (ibid p. 26) 'a relationship is a result of

an interaction process where connections have been developed between

two parties that produce a mutual orientation and commitment'.

In this study, I use the following processual definition: a business

exchange relationship is a process of repeated exchanges creating and

maintaining interdependence between a buyer and a seller company, and

which process they both perceive to continue (Tahtinen 1997). This

definition contains three essential elements; repeated exchanges,

560 (IIP 14th IMP Annual Conference

interdependence and actor perceived continuity. All these elements are

needed for a business relationship to exist.

Literature addressing business relationship dissolution (Dwyer et al.

1987, Michell et al. 1992, Perrien et al. 1995, Ping 1995, Ping and Dwyer

1992) does not present any explicit definition of a dissolved relationship.

Two exceptions are Gadde and Mattsson (1987) and Tahtinen and Halinen-

Kaila (1997). Gadde and Mattsson (1987) state that a relationship does not

exist when "(0)... no commercial exchange has taken place during a

specific'time period and (1) shows that such an exchange has taken place".

This statement includes commercial exchange, which is only one of the

elements mentioned above. The definition presented in Tahtinen and

Halinen-Kaila (1997) is well in line with the definition of an extant

business relationship used in this paper and is therefore used also in this

study.

As already mentioned, three elements - repeated exchanges;

interdependence manifested in activity links, resource ties, and relational

infrastructure; and percieved continuity manifested in relational bonds

(HaJcansson and Snehota, 1994; Halinen, 1997) - are needed for a

relationship to exist. If one of these elements is missing at a certain time, a

change in the relationship's nature has taken place. If a party no longer

perceives the relationship to be continuing, and this is manifested in broken

relational bonds, the relationship is in a dissolution phase. If, in addition,

activity links, resource ties and relational infrastructure between partners

dissappear although occasional business exchanges still take place, the

relationship is dissolved. If no transactions take place between ex-partners

of a relationship, the companies can be said to have no direct connections

with each other.

In sum, a business relationship has entered a dissolution phase when at

least one partner no longer views the relationship to be continuing

(reciprocal relational bonds have been broken) or interdependency has

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otherwise greatly decreased. Once begun, the dissolution process may

also be stopped or stalled, but if the process continues, the outcome is a

dissolved relationship. A business relationship is dissolved when all

activity links are broken and no resource ties or actor bonds exist between

the companies (Tahtinen and Halinen-Kaila 1997).

As Tahtinen and Halinen-Kaila (1997) state, it is probable that some

personal relationships are maintained after the dissolution (see Havila

1996, Havila and Wilkinson 1997) and recollections will remain in the

actor's organisational memory that continue to influence the way the ex-

partners perceive each other. The relational bonds created and maintained

in actual interaction between the parties vanish, however, and along with

them bilateral expectation of relationship continuity. As stated in sociology,

it takes only one party to end a relationship, but two to develop and

maintain it (Simmel, 1950), depending also of course on the circumstances.

The definition of a dissolved relationship is irrevocably bound up in

time. At a certain point in time a relationship can be dissolved, but it could

later be reactivated, if a need and willingness to rebuild it arise (Tahtinen

and Halinen-Kaila 1997).

2.2 Reasons for relationship dissolution

Two groups of factors underlie dyadic dissolution: predisposing factors and

precipitating events (Tahtinen and Halinen-Kaila 1997, see also Duck,

1981). Predisposing factors already exist when companies enter into

relationships, making the relationship more prone to dissolution (cf. Duck

1981). Predisposing factors can be related to the task the relationship is set

up to accomplish, to the actors themselves or to their dyadic relationship.

For example, the task of creating tailored software is in itself a very

demanding one. Specifying abstract and unique software requirements

takes a lot of effort from both parties, and often the requirements change

during the project (Kotovirta 1997).

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Precipitating events bring change to the dyad and accelerate the process

of dissolution. They function as impulses for actors to terminate their

relationship. Precipitating events may emerge from within the companies

themselves, from their dyadic relationships or from the broader business

network in which the dyad is embedded (see also Felmlee et al. 1990,

Hakansson and Snehota 1995a).

Company-related precipitating events, e.g. bankruptcies or changes in

personnel, may potentially lead to dyadic dissolution (see e.g. Halinen et al.

1995, Michell et al. 1992, Perrien et al. 1995). Potential precipitating

events that emerge from dyadic interaction are such as performance

failures. In the software industry perfomance failure can be cost overrun, an

inability to meet the schedule, and failures in the technical quality of the

software (Hokkanen and Telama 1989, Ledgard 1987, Marciniak and

Reifer 1990). The ongoing dyadic relationship itself also includes

quandaries that can turn a relationship into a burden (Hakansson and

Snehota 1995a) and thus function as precipitating events.

It is essential to acknowledge that it is not the event per se that causes

the termination, but the responses of partners to these events that then lead

towards dissolution (see Duck, 1981, Halinen et al. 1995). Change is

always taking place in interactions between business actors. It is generated

in business dyads, received in them and potentially transmitted to other

connected relationships (Easton and Lundgren 1992, Halinen et al. 1995).

2.3 Factors attenuating the reasons for relationship dissolution

Factors that moderate the effect of predisposing factors and precipitating

events can be described as attenuating factors. Strong attenuating factors

may direct the company to use a voice rather than an exit strategy.

Attenuating factors relate to the actors themselves, to their dyadic

relationship or to the surrounding business network (Figure 1).

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Potential dissolution of a business relationship

direct influence indirect strengthening influence direct weakening influence

FIGURE 1: Attenuating factors and reasons for business relationship dissolution.

Actor-related attenuating factors - certain company characteristics - can

contribute to the company's efficiency in relationship maintenance. A

company with a considerable amount of experience in managing

relationships and perhaps their dissolution, has had opportunities to learn

from these experiences (Moller and Wilson, 1995b) and thus is better

prepared to take the actions needed to save the relationship.

The state of the relationship is likely to moderate the effects of

precipitating events on potential dissolution (see e.g. Halinen 1997). The

state of a relationship may vary from strong to weak. In relationships with

strong actor bonds of trust, commitment, and personal relationships these

bonds can function as attenuating factors (Maute and Forrester 1996,

Seabright et al. 1992, HSkansson and Snehota 1995a). The overall

relationship quality, if perceived to be high, also moderates the effects of

564 IIP 14* IMP Annual Conference

events that might otherwise lead to relationship dissolution (Ping 1993,

Withey and Cooper 1989). On the whole, strong actor bonds, resource ties,

and activity links increase switching costs, which attenuates the effects of

precipitating events and predisposing factors (Heide and Weiss 1995, Ping

1997).

A lack of alternative partners in the network functions as an attenuating

factor (Withey and Cooper 1989). A company may have to remain in a

relationship although it would prefer to end it, if no alternative partner is

available. The network may also pressure an actor to remain in a

relationship, although reason(s) for dissolution may exist(s) (Felmlee et al.

1990). The focal relationship may be of great importance to other actors in

the network, and so pressure is used to protect their interests.

2.4 Stages in the relationship dissolution process

The dissolution of a business relationship is likely to be a complex process,

since it always involves not only the partners, but also various network

actors and levels (people, companies, dyads and broader networks). As

Dwyer et al. (1987) suggest, more than just one phase would be necessary

to describe the process over time. In their model of channel relationship

termination, Ping and Dwyer (1992) suggest two phases - committed and

dissolution - which are further divided into seven stages. The model is

primarily based on Duck's (1982) framework of personal relationship

dissolution but concerns established, committed channel relationships. A

single actor's chronic dissatisfaction with a relationship is proposed as a

primary explanation for relationship dissolution and a dissatisfying event is

suggested to trigger off the termination process.

The Ping and Dwyer (1992) model has been elaborated for its pertinent

application to the dissolution of a business triad in Tahtinen and Halinen-

Kaila (1997). In Figure 2, the triadic model is modified in two ways; the

stages of the dissolution process and their order of appearance have been

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reconstructed. The present model distinguishes six stages in the

dissolution process of a business dyad: assessment, decision making,

dyadic communication, disengagement, network communication and

aftermath stage. The stages themselves are described in the following

sections by referring to actors' activities at each stage.

Dissolution process

Network conmunication stage

denotes potential ; i^^^^g^/of company level I ;\; i F Network level

FIGURE 2: Stages of business relationship dissolution

One potential starting stage 1 is the assessment stage, where the

individual(s) involved in the relationship begin to assess it, its future and

how it might be ended (Ping and Dwyer 1992). Unless those individuals

have the authority to end relationships, the assesment is continued at

department or company level. Actions to be taken are considered and

factors that attenuate reasons for dissolution have an important role to play

in this assessment. The initiator's willingness to make further adaptations

and investments in the relationship or to exchange new information will

The process can also start e.g. from the network communication stage.

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decrease and the bonds of attraction, trust and commitment will weaken

(Tahtinen and Halinen-Kaila 1997).

At the decision-making stage, decisions about the relationship's future

are made. There are two main strategies available to the actor: exit or voice

(Helper 1993, Hirschman 1975). An exit terminates the relationship and the

disengager company perhaps starts to find a new partner. Voice strategy

implies confronting the reason for potential dissolution together with the

partner, and both companies may take steps to restore and maintain their

relationship. If the restoration process is successful, the dissolution process

may end there. If not, or if the actor is not able or willing to use a voice

strategy, dissolution will advance.

The intention to exit is directly or indirectly communicated to the partner

in the dyadic communication stage. Alajoutsijarvi et al. (1998) have

presented several communication strategies applied in this stage, mainly

based on Baxter (1985), Helper (1993) and Hirschman (1975). Four

different exit strategies are distinguished, two of which are indirect

(disguised and silent exit) and two are direct (communicated and revocable

exit), plus a voice strategy. Thus the way in which the exit intention is

communicated varies in its directness and other- or self-orientation. It is

suggested that the communication strategy choice is influenced by e.g. the

strength of relational bonds and the type of relational infrastructure built by

the parties over time, and the network in which the relationship is

embedded.

Unless the parties agree to perform restorative actions, the

disengagement stage also starts during the dyadic communication stage.

Business exchange will start to decline and resource ties therefore begin to

weaken. Communication, co-ordination and adaptation temporarily

intensify, because the actors have to adjust to the decline in exchange

activities (Tahtinen and Halinen-Kaila 1997). Negotiations regarding

contract annulment or disengagement, proprietary rights, copyrights or

' "r»k

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final invoices may be needed. These discussions may require a great

deal of time and considerable adaptations on the part of both parties. Both

actors will also start to make internal preparations for diminishing business

exchange.

At the network communication stage, the partners manage the

consequences of dissolution on other actors in the network (Tahtinen and

Halinen-Kaila 1997). The dissolution of the relationship may need to be

announced to other actors in the network, if it has not yet become apparent.

The dissolution itself changes the structure of the network and the positions

of ex-members within it. In order to safeguard a favourable future scenario,

the ex-members need to establish and reinforce other relationships within

the network (see also Sutton 1987). I would also like to point out that in

some cases, the network communication stage may be the initial stage of

the dissolution process (see Figure 2.).

Dissolution is finalised in the aftermath stage. Although business

activities have now ceased and resource ties and actor bonds have been

broken, the process of dissolution is not over (Tahtinen and Halinen-Kaila

1997). In the aftermath stage, the actors involved create an ex post facto

account of relationship dissolution to disseminate both internally and

externally to other members of the network (Ping and Dwyer 1992). The

actors mentally go through the dissolution process in order to make sense

of what happened in the process, and what was achieved during the

relationship (Keyton 1993). It is a way of protecting the social and

psychological identities of the individuals involved (Duck 1982, La Gaipa

1982), and also the network image of the company.

The proposed stage-model is not a deterministic description of the

relationship dissolution process (Tahtinen and Halinen-Kaila 1997).

Several trajectories are possible; the stages can occur in a different order

and in fact not all of the stages necessarily occur at all. The network

communciation stage is likely to be enacted at the same time as the

568 0(^ 14* IMP Annual Conference

assessment, dyadic communication and aftermath stages. For such deaths,

where the need for exchange has gradually diminished and no explicit

decision has been made about dissolution, the assessment, decision-making

and dyadic communication stages have only a minor role to play.

The dissolution process may also be interrupted or stopped in its early

stages (Tahtinen and Halinen-Kaila 1997). If the actors decide to use voice

strategy, either in the assessment, decision-making or dyadic

communication stages, the dissolution process may stop or at least stall. It

has to be noted that the early signs of dissolution are difficult to detect and

that even where they are addressed, the actor may understate the problem

and therefore not take sufficient measures to repair the relationship

(Weitzel and Jonsson 1989). Even at the network communication stage,

termination may still be prevented. Thus, the dissolution process is not over

until it has reached the aftermath stage.

2.5 A framework for business relationship dissolution

Figure 3 presents a preliminary framework for business relationship

dissolution. It combines the reasons for and stages of the dissolution

process discussed and developed in previous sections.

Business relationships may dissolve for a variety of reasons or their

different combinations. Whatever the reasons or their combinations,

attenuating factors moderate them. This can lead to postponing the

dissolution or to its total rejection.

In processes, antecedent conditions shape the present and future

(Pettigrew 1992). The history of the relationship and how it has developed

also shapes its dissolution process. Moreover, some of the reasons for

Vol. 1: Competitive papers 569

Predisposing facioi

• (ask related

• actor related

• dyad related

Precipitating events •>

• actor related

• dyad related

• network related

Attenuating factors

• actor related

• dyad related

• network related

Aisessra

Decis

Dyadic

strategy

Dissolu

on making st

commtmicati

ion pro

»ge

MI stage

cess

\—1-

Disengagetncnt stage

Network co•nmunic

Restoration of

relationship

strategy

———— 1

———— >

Af,cn,,,h<u, g,

at ton stage

FIGURE 3: A preliminary framework for business relationship dissolution

relationship dissolution, as well as some attenuating factors may stem from

the history of the relationship shaping its dissolution. Therefore, since

different combinations of reasons and attenuating factors are involved, the

process of dissolution may never be the same.

3. METHODOLOGY

An historical, retrospective study was conducted, due to the nature of the

phenomena. There is no way of telling in advance whether and when a

relationship is going to terminate, so a follow-up or future study were

uncertain bets and were thus rejected.

Case selection was made with the emphasis on its ability to help in

understanding the dissolution processes (Stake 1995). As the subject of

inquiry is considered commercially sensitive, great weight was placed on

the potential to get access. The selection of a single industry also reflects

the view that context and action are inseparably intertwined (Pettigrew

1992).

570 14th IMP Annual Conference

The framework for business relationship dissolution was used as a

guideline to restrict the complexity of the phenomenon and thus aid in data

collection and selection. This way creates a clarity of what is to be

researched that makes the data collection faster and more efficient

(Easterby-Smith et al. 1995, Yin 1989).

Data was collected from both seller and buyer organisations and from

written and oral sources to ensure methodological triangulation (Denzin

1984). A total of 18 people involved in the dissolved relationship was

interviewed.

4. DISSOLVED RELATIONSHIP BETWEEN BUYCOM AND SELLCOM

As the analysis of the case is still continuing, the next section aims to

illustrate some parts of the theoretical model.

4.1 Reasons for dissolutionThe relationship was established to complete the task of developing several

data warehousing solutions for a large international company, hereafter

called Buycom. The development of data warehousing solutions differs in

many respects from the development of operations software e.g. as well as

IT personnel, also staff from the business unit are also needed to lead the

development of the dw-software. As these differences were not completely

understood in Buycom, the IT personnel were more or less left to drive the

development. So the newness of the task created a platform of difficulties

in the relationship.

Both Buycom and Sellcom had fairly recently employed the individuals

appointed as project managers for the data warehouse development.

Moreover, Selcom was short on consultants; these were some of the actor-

related predisposing factors.

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The differences in size, Buycom having over 30,000 employees

compared to Sellcom's 10 consultants, were also considerable. Thus task,

actor and dyad-related predisposing factors were already extant when the

relationship evolved.

During the relationship, several precipitating events took place. The

organisational structure of Buyecom was going through major change,

which also created pressures for the IT personnel involved in the

relationship. Moreover, the Buycom project manager was not satisfied with

the performance of Sellcom. Severe tensions arose in the personal

relationship between the two project managers, resulting into a situation

where the Sellcom project manager refused to work with Buycom and

Sellcom thus changed its project manager.

4.2 Attenuating factors

The most influential attenuating factor was that Sellcom and Buycom had

been discussing several data warehousing solutions, of which this would

have been only the first in line. In addition, having Buycom as a customer

was a major breakthrough for Sellcom in that particular industry sector.

Buycom was considered an important reference company for Sellcom.

4.3 The dissolution process

The theoretical framework was confronted with the empirical knowledge

derived from the case-study. It became apparent that certain adjustments to

the process framework were needed. Some of the changes are briefly

described in the following.

It is important to incorporate in the model all the different levels

involved; individual, department, company, dyadic and network. By

analysing each level, the process picture becomes more detailed and allows

us to see the multiple paths the process is taking at different levels. In other

572 Cljt 14th IMP Annual Conference

words, at a certain point in time, the dissolution process is ongoing at

different stages in different levels.

Another important notion is that the process can return to a stage, that it

has already gone through. For example, after the assessment stage, the

disengager company uses voice, but the restoration process is not a success.

The dissolution process can continue from the assessment stage where the

company assesses the possibilities to terminate the relationship, taking into

account the prior failure of the restoration process.

Some changes to the stages of the framework are also needed. By

incorporating the different levels into the framework, it became obvious

that dyadic and network communication stages could be united into a single

communication stage. The stage can of course take place at department or

company level. Also, the decision-making stage does not appear to exist as

a separate stage. A better description of it could be the ending point of the

assessment stage, where some kind of decision was reached. After these

early changes, the framework has five stages; assessment and decision

making, communication, disengagement, aftermath, and restoration.

In the theoretical framework, it was suggested that the process would not

be over until it reaches the aftermath stage. This still seems to be a valid

statement, but there is more to it. In the case studied, at the beginning of a

restoration process, a committee was set up to investigate what hade gone

wrong in the relationship. This committee then interviewed the key persons

involved, who were already telling 'stories' of what had happened during

the relationship.

5. SOME CONCLUDING REMARKS

This research is a part of an ongoing project, so there still is much to be

discovered. Yet, at this early stage of analysis, several issues have emerged

that will change the theoretical framework. Indeed, it has to be said at this

point, that the process of grounding the model empirically truly reveals the

Vol. 1: Competitive papers '^ 573

complexity of the reality, which one otherwise imagines to be much

more simple.

Two major avenues for further research can be suggested. A step

forward in relationship dissolution research is to further develop the model

by comparing different kinds of relationship and their dissolution

processes. As Tahtinen and Halinen-Kaila (1997) have suggested, the type

of the relationship whether it is terminal, continuous or episodic can

affect the dissolution process. Another reserach avenue stems from the

network perspective, as the type of network and environment (Anderson et

al., 1994) will also affect the relationship dissolution process. The

dissolution of one relationship within a network may further, as a

consequence, require major adjustments in connected relationships, thus

affecting the whole network. So the research on business relationship

dissolution can be connected to research on network dynamics.

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