This article examines the effects of negotiation practices, such as coercion and contract formality, on how suppliers and customers perceived the resulting business relationship. We conducted a purchasing negotiation simulation with students in a classroom setting in which participants competed for resources in a mock supply-chain context. The participants were surveyed at key stages of the ongoing negotiation in order to measure their behaviors as a customer_supplier relationship developed. The data were used to test several hypotheses developed from the marketing and purchasing literature. The hypotheses were analyzed using structural equation modeling.
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