Rising up to the challenge of our rivals: Unpacking the drivers and outcomes of coopetition activities

Abstract

Although a body of work surrounds the notion of coopetition (simultaneous cooperation and competition), the complexities of these inter-firm networks remain relatively under-researched. Consequently, this current study infuses resource-based theory and the relational view (alongside drawing upon the outside-in marketing perspective) to evaluate the drivers and outcomes of coopetition activities. The core method involved collecting survey data from a national-level sample of 323 American wine producers. After assessing this information for all major robustness checks, ordinary least squares regression analysis was used in the model-testing stage. The results showed that while a coopetition-oriented mindset, a competitor orientation, inter-firm trust, and competitive intensity positively impact coopetition activities (in a linear manner), there are certain moderating effects that influence these paths. Additionally, coopetition activities yielded a quadratic association with company performance. Business experience negatively affected this link, whereas, there was a positive interaction effect from industry experience. These findings, offer new evidence regarding the risks and potential rewards of coopetition, including mechanisms that decision-makers can utilize to manage these inter-firm relationships.