Trust and open book accounting

This thesis presents the research programme that was conducted to examine the relationship between suppliers and retailers in the UK Grocery Sector. The research focused on Trust and Open Book Accounting, with a detailed examination of a selection of suppliers to RetailCo – one of the big 4 UK Grocery Retailers. Primary data was collected from some twenty suppliers to RetailCo, which built on the industry survey made available to the researcher from the Advantage Mirror report on RetailCo. Strong Structuration Theory was used as the theoretical lens for the analysis of the case evidence, with Abduction being the methodological approach. A number of conclusions were drawn from the analysed data, which included the very real differences in the relationship styles exhibited by own-label suppliers from that shown by almost all branded suppliers. The own-label suppliers who enjoyed the most positive relationships with RetailCo were those who had adopted an Innovation-Led strategy. This helped buyers to reach their KPI targets, through the sharing of cost data, resulting in greater profitability from cost reduction and the possibility of additional innovation-led sales. The various forms of Open Book were examined, with real benefits of more collaborative working reported by some suppliers who were involved in forms of Open Book programmes.