2019
DOI: 10.1016/j.omega.2018.07.002
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Compete or cooperate: Intensity, dynamics, and optimal strategies

Abstract: This research explores rival firms' optimal strategies when engaging in market competition. We assume that customer demand is subject to customer sensitivity to the competitors' price and service levels. First, we develop coopetition models under a symmetric case where there is identical serviceinvestment efficiency between two firms. We then extend our analysis to an asymmetric case in which the two firms have different service-investment efficiencies. Our results show that the optimal strategic decisions reg… Show more

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Cited by 61 publications
(18 citation statements)
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References 63 publications
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“…Nor does demand pull provide a complete explanation in circumstances where customers lack the necessary foresight of possibilities in a world with radically new products or systems. To say it the other way round, innovations come to be seen as a result of collaboration for integration of skills and capabilities when competing for the future market (Hamel and Prahalad, 1994; Li et al , 2018; Chen et al , 2019).…”
Section: Theoretical Frameworkmentioning
confidence: 99%
“…Nor does demand pull provide a complete explanation in circumstances where customers lack the necessary foresight of possibilities in a world with radically new products or systems. To say it the other way round, innovations come to be seen as a result of collaboration for integration of skills and capabilities when competing for the future market (Hamel and Prahalad, 1994; Li et al , 2018; Chen et al , 2019).…”
Section: Theoretical Frameworkmentioning
confidence: 99%
“…Companies must be able to compete in showing excellence in the products or services compared to their competitors. In other hand, [1] conclude that rise of a new paradigm shift from competition to coopetition to increasing levels of service competition in many industries.…”
Section: Introductionmentioning
confidence: 97%
“…In reality, few enterprises, even information technology (IT) giants, can independently complete all parts of a cloud service solution. Although the competition of service level is fiercely increasing in many industries, shift from competition to cooperation becomes an inevitable trend [9]. Therefore, improving service quality through the ''win-win cooperation'' and ''ecological community'' in a cloud service supply chain becomes the first option of cloud service providers.…”
Section: Introductionmentioning
confidence: 99%
“…Cooperation and competition commonly exist in the cloud service supply chain. This strategic behavior is known as coopetition, which is defined as the simultaneous pursuit of cooperation and competition [9], [23]- [26]. A broad definition is proposed by Nalebuff et al [23] who viewed coopetition as a value net consisting of suppliers, consumers, competitors, and complementors.…”
Section: Introductionmentioning
confidence: 99%