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Paper info: Crisis in long term buyer/supplier relationship: adaptation in the French brewery industry after the January 2008 "smoking ban"

Title


Crisis in long term buyer/supplier relationship: adaptation in the French brewery industry after the January 2008 "smoking ban"

Authors


Nassef HMIMDA

Place of Publication


The paper was published at the 25th IMP-conference in Marseille, France in 2009.

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Abstract


In this research, our purpose is to understand how the powerful partner in the relationship responds to dysfunction in continuous relationship. We particularly deal with dysfunctions that originate from the evolution of the social system and the market structure that renders the organisation of one partner inadequate. In doing so, we aim to understand this particular process of adaptation which would avoid the dissolution of the buyer supplier relationship. Our case study deals with the management of the buyer/supplier relationship by an international brewery company after the "smoking ban" event in France. After the smoking ban that started in January 2008, the company managers were alerted by sales erosion in the traditional alehouse (brasseries) and bars compared to modern and trendy pubs. The sales erosion was not, however directly related to the smoking ban, but resulted from a period incubation during the past 20 years. Their reaction was to develop a professional training programme to rehabilitate this strategically important distribution channel.