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Research Collection Lee Kong Chian School Of Business

2003

Marketing

Organizational justice

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Full-Text Articles in Business

Reactions To Perceived Inequity In U.S. And Dutch Interorganizational Relationships, Lisa K. Scheer, Nirmalya Kumar, Jan-Benedict E. M. Steenkamp Jun 2003

Reactions To Perceived Inequity In U.S. And Dutch Interorganizational Relationships, Lisa K. Scheer, Nirmalya Kumar, Jan-Benedict E. M. Steenkamp

Research Collection Lee Kong Chian School Of Business

In an empirical examination of inequity in interorganizational relationships, we found similarities and differences in Dutch and U.S. automobile dealers' reactions to inequity in their relationships with their automobile suppliers. As predicted by equity theory, both positive and negative inequity have detrimental effects on the reactions of Dutch firms. In contrast, U.S. firms do not react negatively to positive inequity; only negative inequity has deleterious effects.