Abstract:
Distribution channel research has been attracting increasing attention among
practitioners and researchers during the last two decades (Amato and Amato 2009;
Korneliussen and Gronhaug 2003). Through the review of scholarly contributions in the
distribution channel literature, we recognized that power is important phenomena for
understanding distribution channel relationship. In fact, multiple researchers attempt to
study the distribution channel relationship based on various sources of power used by a
source firm of the distribution channel (Garrett et al. 2006; Leung et al. 2005). Sources
of power, therefore, represent an important point in the understanding of distribution
channel relationship. After recognizing the importance of sources of power in distribution
channels, researchers have devoted considerable effort in understanding sources of power
and their use within distribution channels (Garrett et al. 2006; Leung et al. 2005). This
study was undertaken within a high power distance country. This setting is favourable
for the investigation of prestige as a new source of power and a new classification of
dependence as economic dependence and social dependence. The theoretical section of
this study included prestige power as independent variables and a dependent variable
(i.e., performance). An empirical study was conducted using ornamental fish farmers in Sri
Lanka. To*do the survey, the structured questionnaire was used. To analyze the collected
data, this study used partial least squares path modelling (PLS). The reliable and valid
measurement model permits an empirical evaluation of the hypotheses in the structural
path model. The tests of ten hypotheses in the structural model are statistically significant
and all effects are in the expected direction .The present study contributes to the literature
on power sources and extends research on power-dependence relations and performance
of channel members by introducing a new power source named prestige power into French
and Raven’s (1959) typology including a measurement scale for prestige power.