Is quality still an important determinant of small suppliers’ competitive strategy? An empirical cross-industry comparison

This paper presents the findings of a study aimed at investigating how managers in small supplying firms translate their vision of quality as a strategic tool into a set of principles, practices, and techniques that shape the firm quality-based strategy in the customer-supplier relationship. Qualitative and quantitative data were collected from a sample of 139 small suppliers. Three groups of firms were uncovered, associated to three conceptualisations of quality denominated ‘process-oriented’, ‘market-oriented’, and ‘product-oriented’. Results show that: 1) there is a positive association between industry type and the vision of quality as a strategic leverage; 2) there is a positive association between the managers quality vision and the commitment of supplier firms to pursue a quality-based strategy through the implementation of quality-related practices; 3) there is a positive association between the supplier managers quality vision and the customer-supplier relationship pattern. Finally, a comprehensive framework is proposed to define future streams of investigation.