Coopetition in business relationships: Validation and improvement of the coopetitive paradox model

The purpose of this study was to validate the conceptual model of the coopetitive paradox proposed by Gnyawali et al.[1] This qualitative study, using grounded theory, involved 54 executives from 25 companies from Ecuador’s agriculture sector. The results validated and complemented the conceptual model of the coopetition paradox, filling up important knowledge gaps related to the sources of the dualities and contradictions that drive the paradoxical coopetitive situations in an inter-company network. New findings indicate that the willingness of firms for collaborate with competitors is influenced by the competitive position, the emphasis on the strategic development of the sector, and the interest in long-term sustainability, inferring that an individualistic business culture that emphasizes competitiveness significantly limits the drive for coopetitive strategies. It was also found that the ability to identify and manage sources of tension in coopetitive relationships is determined by the structure of managerial thinking in top managers. As a result of this study, 13 new tentative propositions were incorporated into the theoretical model. This represents an important contribution on strategic management by highlighting the meaning of coopetition to increase the perceived value of customers and the network, even in the presence of conflicts, rivalries and divergent interests.