IMPACT OF BUYERS DEPENDENCE AND ABSORPTIVE CAPACITY ON BUSINESS PERFORMANCE: THE MODERATING ROLE ETHICAL LONG-TERM RELATIONSHIP

Abstract

Aim of this study is to examined the impact of buyers’ dependence and absorptive capacity on business performance and the moderating role ethical long-term relationship. Direct data gathering from respondents is a primary component of research methodology. The first data was gathered using a self-administered questionnaire from prior research and an online Google form. data gathered for one month, starting in January 2023. Respondents from Sindh pharmaceutical firms in Pakistan who are either directly or indirectly engaged in buying represent the study's population. In acknowledgement of a variety of restrictions, including time, location, and financial concerns, we have used the convenience sampling and cross-sectional methodology. Strongly disagree to strongly agree on a five-point Likert scale (1–5).  The results showed that direct effect hypothesis buyer dependency and absorptive capacity are support, Therefore, the proposed H1, and H2, which are both positive and significant relationship with business performance. In addition, the moderation effect of the present analysis also demonstrate that ethical long-term relationship does not moderated relation between buyer dependency a business performance was rejected. Last ethical long-term relationship does moderated relation between absorptive capacity a business performance was accepted. These variables should be taken in future polices in order to better firm performance.