Use Co-opetition to Build New Lines of Revenue

Harvard Business Review

The way forward is co-opetition, in which entities in the same industries act with what everyone recognizes as partial congruence of interests. Nalebuff have written in their book Co-Opetition , businesses that form co-opetitions become more competitive by cooperating. There [are] lots of co-opetitions.”. Examples of high-profile failed business collaborations are everywhere.

Joint Ventures Reduce the Risk of Major Capital Investments

Harvard Business

Benefits and risks of co-opetition. In many industries, the capital required to build an asset of minimum efficient scale is growing. For instance, the cost of building and equipping a leading-edge semiconductor fab has climbed to $7 billion, as the technology required to make more advanced chips is getting more complex.


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Why Your Company Should Partner with Rivals

Harvard Business Review

The thinking behind this axiom began to be challenged in the mid-1990s, with the publication of smart, highly-regarded competitive strategy books, such as Co-opetition by Barry Nalebuff and Adam Brandenburger. By translating game theory into pragmatic business strategy, Co-opetition cleverly showed companies a new path to revenue growth: It's better to own 20 percent share of a $10 billion market than it is to own 75 percent share of a $2 billion market.

Leadership Is About to Get More Uncomfortable

Harvard Business Review

Such “co-opetition” will require leaders to maintain a difficult dual perspective – rivals must be simultaneously seen as both vital partners and market threats. Employees used to know just your name, your face, your business reputation. Now they know your salary, your hometown, your connections on LinkedIn, how much your house is worth.

If America Is a Land of Abundance, Why Are We So Divided?

Harvard Business Review

More and more companies embrace consumers as "co-creation" partners in their innovation efforts, instead of as buyers at the end of a value chain. For example, IBM's co-created product lines account for approximately 20% of its revenue and many of its innovations. In business jargon, it's a move from competitiveness to co-opetition. One of my first memories of America was at a grocery store.

Old Management Systems Stifle New Business Models

Harvard Business Review

Instead of using traditional tools to compete in an environment of clear customers, suppliers, partners, and competitors, we find ourselves in an era of “ Co-opetition.” Ask anyone in technology. Sometime soon, the world around us will be smart. Everything from mugs to mailboxes will be context-aware. Our email inboxes will guide us to the highest priority action items.