We explore the integration of trust and distrust as defined by Lewicki, McAllister,
and Bies (1998) with its effects on team-based designs. A hypothetical long-term
contract simulation was used to study trust and distrust through a medium-term,
qualitative analysis. Results indicate that teams respond differently to trust and
distrust perceptions in the development of contracts. Discussion of the Lewicki
et al. (1998) model demonstrates that while trust served to loosen formalities
between teams and led to higher perceived quality, the presence of distrust led to
the development of competition between teams, higher inter-team accountability
and lesser perceived quality.
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