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Table 2 Features of a trust situation

From: Performance of trust-based governance

Feature Example
  Theoretical Empirical
Outcome risk (x) Relationship-specific assets (Williamson 1985); task criticality (Kiggundu 1981) The difference between high and low quality
Behavioral risk (a) Binding contracts (Malhotra and Murnighan 2002) The product’s quality can be verified by an outside party
Self-serving norm (α) Cultural context (Miller 1999) A higher frequency of low-quality products from party B
Value capture (X) Industry competitiveness (Porter 1980); uniqueness of relationship (Brandenburger and Stuart 1996) Another supplier provides a similar product
Value creation (c) Gains from trade (Jacobides and Hitt 2005) Buyer and supplier specialize in different activities