Abstract

Coopetition strategy—the way a firm collaborates with its competitors—has been suggested to potentially improve firm performance in the markets. However, the literature is scattered in terms of providing evidence of how and why coopetition strategy affects firms’ market performance. This chapter reviews the existing evidence for key mechanisms, contingencies, and practical examples across four categories: (1) resource efficiency; (2) market growth and development; (3) new market creation; and (4) competitive dynamics. Future research directions are also envisioned.