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Abstract

Researchers in channel dyads have devoted much attention to relationship between interdependence (i.e. interdependence enymmetry and total interdependence) and conflict that promote channel performance. In social science, in spite of the inconsistent results in marketing practice, there are two contradictory theories explain the relationship between interdependence and conflict - bilateral deterrence theory and conflict spiral theory. The authors apply these theories to co-marketing alliance situation in terms that this relationship is also incorporated both company`s dependence, either from one company`s perspective or each partner about its respective dependence. Using survey data and archival data from 181 companies enlisted in a telecommunication membership program, the authors find out the relationship between interdependence and conflict as well as investigate the antecedents of interdependence - transaction age, transaction frequency, the numbers of alliance partner, and co-marketing alliance specific assets according to previous researches. Using PLS analysis, the authors demonstrate that, with increasing total interdependence in a telecommunication membership program, two co-marketing partners` conflict level is increased in accord with the author`s conflict spiral theory predictions. As expected, higher interdependence asymmetry has negative value to level of conflict even though this result is not statistically significant. Other findings can be summarized as follows. In the perspective of telecommunication company, transaction age, transaction frequency, and co-marketing alliance specific assets have influence on its dependence on a partner as independent variables. To the contrary, in a partner`s perspective, transaction frequency, co-marketing alliance specific assets and the numbers of alliance partner have significantly impact on its dependence on a telecommunication company. In direct effect analysis, it is shown that transaction age, frequency and co-marketing alliance specific assets have direct influence on conflict. This results suggest that it is more useful for a telecommunication company to select a co-marketing partner which is frequently used by customers and earned high rates of mileage. In addition, the results show that dependence of a telecommunication company on a co-marketing partner is more significantly effected to co-marketing alliance conflict than partner`s one. It provide an effective conflict management strategy to a telecommunication company for controling customer`s usage rate or having the co-marketing partner deposit high level of alliance specific investment (i.e.mileage). To a co-marketing partner of telecommunication company, it is required control the percentage of co-marketing sales in total sales revenue or seek various co-marketing partners in order for co-marketing conflict management. The research implications, limitation and future research of these results are discussed.

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