Title: Impact of Supplier Development on Supplier Performance: Mediating Role of Trust
Abstract: Value-adding functions of textile industry make the buying firms dependent on their suppliers.The buying firms utilize supplier development practices to improve supplier performance.This study utilized questionnaire survey to collect data from 345 textile firms.Regression analysis and structural equation modelling are employed to test the research framework of supplier development, supplier performance, and trust of suppliers.Indirect supplier development and direct supplier development practices affect supplier performance.Findings of the study show that supplier development practices improve supplier performance in the textile industry.Buying firms' trust is positively related to supplier performance improvement.Furthermore, it mediates across supplier development dimensions and supplier performance improvement.The study emphasizes that the large-scale manufacturing buying firms need to trust its suppliers when engaged in supplier development practices in the textile industry.. Additionally, buying firms' trust positively, significantly, and partially mediates between supplier development dimensions and supplier performance improvement in the textile industry of Pakistan.