If you would like to write for this, or any other Emerald publication, then please use our Emerald for Authors service information about how to choose which publication to write for and submission guidelines are available for all. Please visit www.emeraldinsight.com/authors for more information.
About Emerald www.emeraldinsight.comEmerald is a global publisher linking research and practice to the benefit of society. The company manages a portfolio of more than 290 journals and over 2,350 books and book series volumes, as well as providing an extensive range of online products and additional customer resources and services.Emerald is both COUNTER 4 and TRANSFER compliant. The organization is a partner of the Committee on Publication Ethics (COPE) and also works with Portico and the LOCKSS initiative for digital archive preservation.
AbstractPurpose -The purpose of this paper is to study the impact of managerial perceptions regarding the competitive environment and organizational capabilities on the way firms respond to their rivals' competitive actions. Design/methodology/approach -The authors draw on competitive dynamics theory to develop a model that is empirically tested in 174 firms from 22 manufacturing, trade and service sectors in Greece. Findings -The results show an association between managerial perceptions on the one hand and the innovativeness and breadth of competitive responses on the other. More specifically, perceptions of competition intensity, substitution threats and increased buyer powers are associated with broader and more innovative competitive reactions. Similarly, perceptions of strong internal, mediating (managerial) and external (market sensing) capabilities also affect the breadth and innovativeness of competitive responses. Originality/value -Further to advancing theory in competitive dynamics, the authors contribute to a deeper understanding of the drivers of competitive retaliation that managers can use to anticipate their rivals' retaliation schemes when initiating competitive actions.