We examine whether major corporate customers can deter misconduct among their suppliers. Our findings indicate that firms with concentrated customer bases are less likely to commit misconduct and face lower penalties in equilibrium. We also observe a significant decline in supplier misconduct following the establishment of a major customer relationship. Furthermore, the deterrent effect of major customers is more pronounced when customer pressure to reduce supplier misconduct risk is higher. Additional analyses suggest that major customers exercise their exit option to penalize suppliers after acute violations. Overall, our results suggest that major customers play a crucial role in deterring supplier misconduct.

中文翻译：

---

大企业客户是否阻止供应商的不当行为？

我们研究了主要企业客户是否可以阻止其供应商之间的不当行为。我们的研究结果表明，客户群集中的公司犯下不当行为的可能性较小，并且在均衡状态下面临的处罚较低。我们还观察到，在建立主要客户关系后，供应商的不当行为显著减少。此外，当客户降低供应商不当行为风险的压力较高时，大客户的威慑作用更为明显。其他分析表明，大客户在严重违规后行使退出选择权来惩罚供应商。总体而言，我们的结果表明，大客户在阻止供应商不当行为方面发挥着至关重要的作用。