Business Relationship Management : An In-depth study into the Business Relationships of the Construction Industry

Abstract: This paper is an in-depth study of business relationships in the Swedish construction industry and how e-commerce applications have affected the matter.  E-commerce applications are being used by all types of industries, while the construction industry lags behind and is currently in the process of implementing such type of systems. Primary data was obtained through four in-depth interviews, three of which were conducted with leading Swedish construction companies, and one with a large supplier to the industry.  The data obtained was analyzed using a series of academic tools such as currnet peer reviewed articles and models covering the topics of business relationships as well as e-commerce applications. Most importantly, the research revealed that communication on levels that affect business relationships has not decreased substantially wit hthe implementation of e-commerce applications.  Secondly, an important aspect and prerequisite for a business relationship is the price of goods traded and geographic positioning.  This may be an industry specific finding, due to both factors' high impact on total cost.  Accordingly, the paper provides a model using the obtained data, as the current academic literature weighs aspects which suppoert the forming of business relationships differently.