Coopetition Effect Determinants: Competitor’s Size, Geographical Scope, Market and Technological Positions

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Abstract

Background and Goal: The article is aimed at conducting an empirical analysis of the value and significance of coopetitors’ attributes thanks to which coopetition, which is a combination of cooperation and competition between competitors, generates a substantial corporate profit. Four major competitors’ attributes have been analysed: its size, geographical scope, market and technological position. The research also includes the Porter’s value chain.

Design/ Methodology/Approach: The survey has been conducted on a sample of 235 high- tech companies operating in Poland and involved in coopetition. The sample is representative. The data have been collected at interviews with company top executives or owners. The research applies the method of classification trees, which, thanks to diagrams, sequentially divides the examined data space into classes (spaces) of similar properties. The assessment of the effect of coopetition, including its variants, made by the examined company served as a dependent qualitative variable. Four coopetitor’s attributes and their variants were assumed as explanatory variables (predictors) affecting the assessment of cooperation.

Results: The results of research indicated the necessity for an accurate competitor’s profile selection. The significance of each of the four attributes may be different depending on the undertaken areas of cooperation with a competitor. The value of all the attributes of competitors is also diverse depending on the area of cooperation. A selected competitor’s profile with regard to the four analysed attributes may become a stimulant to generate benefits in one area, while in another area it may become an inhibitor.

Conclusions: So far, the selection of a coopetition partner has been treated universally, without scrutinizing on some specific needs in relation to the area of cooperation. The selection of an appropriate coopetitor’s profile will allow for the cost reduction in search of appropriate candidates for cooperation and in relations management.

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