The formation of trust and commitment in business relationships in the Middle East: Understanding Et-Moone relationships

Abstract

Abstract:In recent years, different forms of relationships that are culturally bond have emerged such as; "Guanxi' in China (Yau, Lee, Chow, Sing, and Tse, 2000; Lou, 2007;Liu, Li, Tao and Wang, 2008), "Blat' in Russia (Michailova and Worm, 2003) and "Boon Koon' in Thailand (Pimpa, 2008). While these special forms of relationships are culturally bond, studies have also suggested that the development of a business relationship is directly linked to the development of trust and commitment (Wilson, 1995). Considering that these forms are culturally bond, studies from the Middle East on the formation of trust and commitment within relationship development are largely absent. We argue that understanding the dynamic formation of trust and commitment will help to better understand Et-Moone business relationships within the specific cultural context of the Middle East. Thus, this study combines the insights from the theory of life-cycle (Ford, 1980;Dwyer et al., 1987) and the theory of trust and commitment by Morgan and Hunt (1994) to understand business relationships in the Middle East. Based on qualitative research using a longitudinal approach and 33 semi-structured in-depth interviews conducted in 2003, this study finds the relationship between trust and commitment to be far more dynamic and changeable as the relationship evolves. Also, it finds that trust and commitment are major factors in establishing Et-Moone relationships.

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