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Financial compensations achieved by premium item suppliers in business-to-business transactions

This paper investigates financial compensations achieved by premium item suppliers when they meet the value demands from industry clients. Financial compensations include an increase in the values and share of orders. The research methodology used was the multiple case study. This study included five global clients from the steelmaking, beverage, and equipment industry sectors and four suppliers of premium industrial components (Industrial bearings, Hydraulics, Pneumatic subsystems, and Electronics). The following value drivers were found in the literature: product, service, and supply. Determining the value of the product is a priority followed by supply and service whose values are usually determined after the product is technically approved. This study also quantified the influence of the combination of these values, or prices, and those of the share of orders. Questions for further research, i.e. surveys, were suggested.

Value management; Supply management; Service management; Product


Universidade Federal de São Carlos Departamento de Engenharia de Produção , Caixa Postal 676 , 13.565-905 São Carlos SP Brazil, Tel.: +55 16 3351 8471 - São Carlos - SP - Brazil
E-mail: gp@dep.ufscar.br