The two sides of cooperation in export relationships: When more is not better

Studies have questioned the beneficial effects of exporter–importer cooperation by showing, without explaining, that it may not a positive effect on performance. We contend carries genes its own demise. develop model drawing insights from exchange theory and dark-side perspective social relationships, which we then test using two consecutive data collection efforts with exporters. Results suggest influence exporter market performance has an inverted U shape; at high levels, fades becomes negative. Further, this is indirect. Cooperation must first importer’s behavior, via specific investments, to improve exporter’s Moreover, find lower levels interdependence increase low-to-moderate investments impervious psychic distance. Our results caution more foreign distributors always better can hurt export Indeed, managers should expect simple, systematically positive, direct relationship between