The dark-side of coopetition: Influences on the paradoxical forces of cooperativeness and competitiveness across product-market strategies

James M. Crick and Dave Crick

Journal of Business Research, 2021, vol. 122, issue C, 226-240

Abstract: Although it has been widely established that coopetition (simultaneous cooperation and competition) has a positive association with firms’ performance, researchers have largely overlooked the environmental and firm-level forces potentially affecting that relationship. Under resource-based theory and the relational view, this current study evaluates whether competitive intensity and competitive aggressiveness negatively moderate the coopetition-financial performance relationship. Through a mixed methods approach featuring New Zealand wine producers, a positive relationship existed between coopetition and financial performance supporting earlier research. However, competitive aggressiveness provided a negative moderation effect and competitive intensity had a positive moderation effect. Unique insights emerge regarding underlying issues (potential dark-sides) behind the coopetition-financial performance relationship. Competitive intensity provides an opportunity for owner-managers to select trustworthy rivals targeting complementary product-markets. However, if decision-makers cannot effectively manage competitive aggressiveness across product-market strategies, they are likely to experience certain harmful outcomes, like tensions and diluted competitive advantages.

Keywords: Coopetition; Financial performance; Competitive intensity; Competitive aggressiveness; Resource-based theory; Relational view (search for similar items in EconPapers)
Date: 2021
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Citations: View citations in EconPapers (5)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jbrese:v:122:y:2021:i:c:p:226-240

DOI: 10.1016/j.jbusres.2020.08.065

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