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Integration of the Sales Force: An Empirical Examination
Abstract
This article develops and tests a model of integration of a marketing function, personal selling. The model, derived from transaction cost analysis as developed principally by Williamson, is formulated as a logistic function, which is estimated with data from the electronic components industry. As expected, integration is associated with increasing levels of asset specificity, difficulty of performance evaluation, and the combination of these two factors. Contrary to the transaction cost model, neither frequency of transactions nor interaction of specificity and environmental uncertainty is significantly related to integration. The transaction cost model improves significantly upon the fit of a simple model relating integration to company size alone. These results suggest that for studying transactions of this kind, it is fruitful to view the firm as a governance structure.
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Cites
A new look at the statistical model identification
Akaike, H. (1974) · IEEE Transactions on Automatic Control · doi:10.1109/tac.1974.1100705 · Cited by 51,879
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The Provision of Incentives in Firms
Prendergast, C. (1999) · Journal of Economic Literature · doi:10.1257/jel.37.1.7 · Cited by 3,338
Joint ventures: Theoretical and empirical perspectives
Kogut, B. (1988) · Strategic Management Journal · doi:10.1002/smj.4250090403 · Cited by 3,333
Price, Authority, and Trust: From Ideal Types to Plural Forms
Bradach, J. L., & Eccles, R. G. (1989) · Annual Review of Sociology · doi:10.1146/annurev.so.15.080189.000525 · Cited by 1,990
A transaction costs theory of equity joint ventures
Hennart, J. (1988) · Strategic Management Journal · doi:10.1002/smj.4250090406 · Cited by 1,843
Metadata
- Authors
- Anderson, E., & Schmittlein, D. C.
- Venue
- The RAND Journal of Economics
- Publisher
- Wiley
- Published
- 1984
- Volume
- 15
- Issue
- 3
- Pages
- 385
- ISSN
- 0741-6261 (ISSN-L)
- OpenAlex
- W2157513726
- Cited by
- 631
- References
- 1
- FWCI
- 6.56
- Type
- journal article
- Language
- en
- Open access
- closed
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Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.
