Managing coopetition to create opportunities for small firms

• This article investigates how coopetition enables Small and Medium-sized Enterprises (SMEs) to create entrepreneurial opportunities in fast-paced industries. The purpose is to explore the managerial challenges that SMEs face when collaborating with large powerful competitors and examine how they balance the relationship to create and sustain business opportunities through coopetition. Based on three exploratory case studies in the IT and telecom industry, we develop a theoretical model suggesting that SME can manage the liabilities of smallness and newness; and sustain independence in and balance coopetitive relationships with large firms if they develop alliance portfolio managing capabilities. We find that the ability to build legitimacy, to enhance agility and to create role flexibility plays an important role in balancing and navigating among different coopetitive relationships, thereby creating and sustaining opportunities.

Subject headings

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv -- Företagsekonomi (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business -- Business Administration (hsv//eng)

Keyword

Coopetition

fast-paced industries

entreprenurial opportunity creation

alliance portfolio management capabilities

SME

företagsekonomi

Business Studies

Publication and Content Type

ref (subject category)

art (subject category)