Description
Poppo et al (2007), posit that managers may be willing to modify contracts because relational governance gives them some assurance that both parties will honour the formal agreement and its intent and that relational practices further enforce the use of contracts as a framework for adaptation. For relational governance to thrive successfully, MacNeil (1978) suggests that exchange of information should be adopted as it will enable the involved parties to have better information about each other than any third party when adapting to unexpected exchange.