Vertical Coopetition and the Sales Growth of Young and Small Firms

Lechner, Christian; Soppe, Birthe; Dowling, Michael

doi:10.1111/jsbm.12131

Cited by 72 publications

(51 citation statements)

References 99 publications

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“…Sales growth in small‐ and medium‐sized enterprises (SMEs) is a current topic of debate for academics and practitioners (Cowling et al ., ; Lechner, Soppe, and Dowling, ; Wright et al ., ), with discussion continuing over the factors that may influence the growth of these firms (Golovko and Valentini, ; Love and Roper, ). In recent years, R&D investment and innovation have been analyzed as sources of firm growth (Audretsch, Coad, and Segarra, ; Nunes, Serrasqueiro, and Leitão, ).…”

Section: Introductionmentioning

confidence: 99%

Does R&D offshoring lead to SME growth? Different governance modes and the mediating role of innovation

Rodríguez

Nieto

2015

Strategic Management Journal

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Research summary:In this article, we address the role of R&D offshoring strategies in the sales growth of small-and medium-sized enterprises (SMEs). We propose that different governance modes of R&D offshoring-insourcing versus outsourcing-may lead to growth, but that they differ in their effects. In turn, we argue that innovation mediates the relation between international R&D sourcing strategies and sales growth. Based on a large database of SME manufacturing enterprises in Spain, we find that offshore outsourcing positively affects sales growth both directly and indirectly, while offshore insourcing only affects sales growth indirectly via innovation results. The analysis reveals different contributions of each governance mode to sales growth and the mediating role of innovation in the relation between R&D offshoring and firm growth. Managerial summary: We analyze how different governance modes of international R&D sourcing-offshore insourcing and outsourcing-may contribute to growth in SMEs. Modes of offshore R&D outsourcing positively affect the growth of sales in two ways. One effect is direct, produced by improved efficiency, flexibility, enhanced resources, and access to new markets. And the other effect is indirect as offshore R&D outsourcing favors the achievement of innovations, and this in turn, positively affects firm growth. For their part, captive modes only exert an indirect effect. Offshore R&D insourcing contributes to the achievement of innovations, and thus, ultimately to firm growth in so far as these innovations enable SMEs to increase sales. Therefore, innovation results perform a mediating role in the relation between R&D offshoring and sales growth.

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Section: Introductionmentioning

confidence: 99%

Does R&D offshoring lead to SME growth? Different governance modes and the mediating role of innovation

Rodríguez

Nieto

2015

Strategic Management Journal

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“…Coopetitive relationships contribute to the creation of values [88], the dynamic development of companies, and an increase in the value of coopetitors [49]. Often, coopetitive relationships are made of a defensive nature; in addition to strengthening market position, coopetitive relationships also protect market position and increase entry barriers for non-system entities (e.g., companies in the European Union).…”

Section: Benefits Of Coopetitionmentioning

confidence: 99%

“…Coopetitive relationships are also created to form resources: developing new technologies, creating or jointly acquiring information and knowledge, and acquiring significant competences, including coopetition competences [47]. In addition to the three main theoretical concepts, the phenomenon of coopetition is increasingly being analyzed through the prism of the concept of strategic alliances [48,49], and network theory [3,23,[50][51][52]. There are also references to philosophy [53,54], biology [55], and legal sciences [56,57].…”

Section: Theoretical Background Of Coopetitionmentioning

confidence: 99%

Benefits and Drawbacks of Coopetition: The Roles of Scope and Durability in Coopetitive Relationships

et al. 2018

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Abstract:The growing importance of cooperative relationships may currently be observed throughout the world. The vast majority of such relationships take the form of coopetition, i.e., the simultaneous existence of cooperation and competition between competitors. Previous research on coopetition characterizes these relationships mostly in the context of the benefits achieved. Researchers emphasize a number of benefits resulting from coopetition, e.g., stimulation of innovations of partners, development of the technology, obtaining complementary resources, entering new markets, or creating new products. However, when deciding to begin coopetition, companies should not only consider the benefits, but also the drawbacks associated with such relationships. This is due to the fact that disadvantages are inherent features of coopetitive relationships between competitors. The relationship between the duration of cooperative relationships in particular areas and the benefits and costs associated with these relationships is scarcely researched. Using a sample of 210 companies operating in the high-tech sector in Poland, we aimed to cover this gap in the knowledge base and to analyze this aspect of coopetition. Several research methods including multidimensional correspondence analysis, correlation analysis of qualitative variables, a chi-square test, multi-table analysis, and association rules were applied. The results of our research showed that coopetition is a viable strategy which contributes to the sustainable development of firms. We also found that the duration of coopetitive relationships in different areas of company activity is related to different types of benefits to collaboration partners.

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“…Coopetition also stimulates innovation between partners [41], the development of technology [42,43], and may facilitate joint creation of tangible and intangible assets [44]. Moreover, it allows companies to achieve economies of scale [11], and reduces operational costs [36,45] and risks [46], contributing to the creation of value for them [47] and their partners [12].…”

Section: Literature Reviewmentioning

confidence: 99%

“…At the inter-organizational level, the coopetition phenomenon is analysed in the context of strategic alliances [11,12], and networks theories [6,[13][14][15]. However, despite the studies that make it possible to explore the complexity of coopetition, the state of knowledge about this phenomenon is still underdeveloped [16].…”

Section: Introductionmentioning

confidence: 99%

What Makes Coopetition Successful? An Inter-Organizational Side Analysis on Coopetition Critical Success Factors in Oil and Gas Distribution Networks

Ceptureanu

Rădulescu

et al. 2018

Energies

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This paper investigates the inter-organizational Critical Success Factors for coopetition in oil and gas distribution networks. Based on an extensive review of literature, 17 Critical Success Factors were identified and analyzed in the context of oil and gas distribution industry. We concluded that Trust, Outcomes, Outcomes distribution and Tension have the greatest impact on coopetition success within business networks, while Congruence, Governance, Inter-dependence and Equity, even though significant, have the lowest impact. The study contributes to the development of literature concerning Critical Success Factors in business networks by presenting an inter-organizational perspective, by providing a ranking of them, and by discussing the implications for oil and gas distribution companies.

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Vertical Coopetition and the Sales Growth of Young and Small Firms

Cited by 72 publications

References 99 publications

Does R&D offshoring lead to SME growth? Different governance modes and the mediating role of innovation

Does R&D offshoring lead to SME growth? Different governance modes and the mediating role of innovation

Benefits and Drawbacks of Coopetition: The Roles of Scope and Durability in Coopetitive Relationships

What Makes Coopetition Successful? An Inter-Organizational Side Analysis on Coopetition Critical Success Factors in Oil and Gas Distribution Networks

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