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Relationship Marketing-Based Advantages In Marketing Strategy

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The subject of this article is to review the literature on the role of the relationship marketing based advantages in marketing strategy. The role of relationship in competitive marketing strategy has been studied. It is a key to improve the business performance. The competitive advantages would create a superior long term market and financial performance for a business firm. Karadeniz (2010) stated that the primary focus of relationship marketing is towards building closer relationships with customers as a strategy to overcome problems such as obtaining global competitive advantage. This journal article enhance our understanding of relationship based competitive advantages with the expanding literature of relationship marketing, interorganization …show more content…

Interorganizational relationships and resources focus on transaction cost analysis (TCA) or resources dependence theory. Transaction cost theory is resources whose value is relationship specific, necessarily risk opportunistic behavior (Williamson, 1975). Likewise, in resource-dependence theory, resources are seen to provide their owners with power and control. Treating resources strategically implies four management requirements which are (1) efficiently acquired or developed, (2) combined skillfully to create complex resources, (3) deliberately applied to competitive situations and (4) dutifully maintained and protected to ensure on-going …show more content…

The relationship initiated to gain physical resources will not commonly result in sustainable RBCAS. In addition, the resources based view within the management area is the value of managerial skills in creating a sustainable competitive advantage (Castanias and Helfat, 1991). Thus, they can be substituted for so many other resource. The resource based competitive advantages gained through a partner’s human resources are moderately sustainable. RBCAs gained through the organizational resources of partners are highly sustainable because they often imperfect imitable, imperfectly substitutable and highly immobile. Firms having long-standing relationship with customers especially relationship by trust, commitments and loyalty in attractive markets become desirable relationship partner. We can maintain that RBCAS gained through partner’s relationship resources will be highly sustainable. A firm’s inventory of informational resources is based on its ability to learn. We posit that RBCAs built on partners’ informational resources will be highly sustainable.
In conclusion, relationship marketing should be adopted when it offers or contributes to a firm’s competitive advantage. Relationship marketing is becoming increasingly important to the overall marketing strategy of many firms. To understanding this role is to recognize the resources needed from the gained through marketing

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