Supplier Motivation : A case study of Scania in the Ecuadorian market

Abstract: Globalization has made it easier for multinational companies (MNC) to expand theirmarkets and sell their products abroad by means of dealers. Different characteristicssuch as size, growth rate, and number of competitors determine profitability of thedifferent markets. When dealers belong to marginal markets, they can sometimesperceive discrimination from the MNC since they are considered less profitable thanthe large country markets. It is easy to find market and industry analyses,nevertheless, there are very few authors that bring up the issue about how the localdealer in a marginal market can motivate its supplier to co-operate as efficiently aswith the high profit market.  The aim of our study is to describe and analyze the network relationship between theMNC and its distributor, for this purpose chapter one gives a brief description of ourcase company, it describes our problematization, it states our research questions andthe purpose of our study. Chapter two describes the methodology used to conduct ourresearch and study. Chapter three introduces the theoretical approaches used as a basefor our analysis. Chapter four is an account of all our empirical findings. Chapter fiveis the analysis of the case study and chapter six contains our conclusions andrecommendations. Overall, we propose that although the dealers from marginal markets are often theones that frequently need big support from the MNC to grow and be more profitable,they also need to improve their internal operations in order to improve theirperformance and look more attractive for the MNC.