Unveiling the power of supplier-country - image in B2B

This study challenges the common assumption that country-of-origin (COO) effects work the same way in B2B markets as they do for consumer purchases. By surveying 182 international B2B buyers in Portuguese industries (footwear, molds, and wood/furniture) and analyzing the data using advanced statistical modeling (structural equation modeling, or SEM), the research finds that a supplier’s country image significantly impacts both product quality perceptions and relationship quality (trust, commitment, satisfaction). However, strong relationships—not just product quality—drive customer loyalty and brand awareness. Trust and commitment boost loyalty, while trust and satisfaction raise supplier visibility. These findings highlight that B2B buyers prioritize long-term relationships over product perceptions alone, suggesting managers should focus on strengthening partnerships, especially when overcoming a weak or negative country image.