Session 61

Value creation and value capture

Track E

Date: Tuesday, October 9, 2012


Time: 14:15 – 15:30


Room: North Hall

Session Chair:

  • Nile Hatch, Brigham Young University

Title: Competition and Competitive Advantage


  • Nile Hatch, Brigham Young University

Abstract: Competitive advantage creates superior profits after it has influenced the competitive relationship of rivals. Typically competitive advantages are studied independently of competition and its influence on profitability. We define competitive advantage in the context of general forms of competition. Then we show how these competitive advantages influence competition and profits. We find that in some situations, small competitive advantages can have a strong influence on competition and deliver greater profits. These results give us insights into the efficacy of competitive advantages and shape how firms may pursue innovation, marketing, and growth.

Title: Competitive Advantage, Positioning, and Price Competition


  • Steven Postrel, University of California, Irvine

Abstract: Competitive advantage is an important concept without a clear definition. This paper illustrates how one precise concept of competitive advantage—transaction surplus superiority—functions under a wide range of assumptions about pricing behavior. It turns out that in common analytical situations, this definition robustly but non-tautologically predicts profit differences across firms. In addition, the theory uses incentive compatibility to explore when soft versus tough price competition is likely to occur as a function of the size of competitive advantage.

Title: Conceptualizing Coopetition as Management Innovation


  • Anna Minà, University of Rome
  • Giovanni Battista Dagnino, University of Catania
  • Roger Dunbar, New York University
  • Gino Cattani, New York University

Abstract: We attempt to respond to two questions: (a) what are the drivers that support the emergence of coopetition as management innovation? What are the social and cognitive processes that unfold over time as coopetition develops? We scrutinized systematically the contributions that academic research has provided in shaping and implementing coopetition strategy. On the ground of the categorical analysis of 82 studies on coopetition published in the period 1996-2010, the study aims to clarify how coopetition involves new management practices to support organizational value creation. Drawing on Garud and Rappa’s (1994) socio-cognitive model of technological evolution, we explain the emergence and affirmation of coopetition, as well as how such a process may lead to the creation of new theoretical paths in coopetition literature.

Title: From Value Creation to Value Capture: A Review of How Firms Appropriate Returns From Innovation


  • Sharon James, Arkansas State University
  • Michael Leiblein, Ohio State University
  • Shaohua Lu, Tulane University

Abstract: Technology strategy literature has examined how environmental conditions influence firms’ choices about the commercialization of innovations and how mechanisms such as patents, lead time, secrecy, and complementary assets influence the extent to which firms capture value from innovation. While this literature has made notable contributions, we have yet to develop a robust theory that allows us to unbundle the factors that affect the selection and effectiveness of particular mechanisms. The purpose of this paper is to provide a foundation from which to address these gaps in the literature. Based on our review of all relevant scholarly work over the period 1980-2011, we identify research opportunities that help to clarify the conditions under which specific bundles of mechanisms will likely help firms achieve persistent superior performance.

All Sessions in Track E...

Sun: 08:00 – 09:15
Session 270: New Frontiers in the Computational Approaches to Strategy and Organization
Sun: 09:30 – 10:45
Session 271: Competing for Innovation
Sun: 11:15 – 12:30
Session 272: Unified Theory of Industry Evolution
Sun: 15:15 – 16:30
Session 52: Networks and competition
Session 66: Competitive strategies in transition
Mon: 08:00 – 09:15
Session 55: Risk, uncertainty and competitive advantage
Session 64: Diverse strategies: Diversification and the evolution of competition
Mon: 09:30 – 10:45
Session 65: Resourceful competitors: Competitive strategies and the resource based view
Mon: 13:30 – 14:45
Session 54: The dynamics of dynamic capabilities
Mon: 16:30 – 17:45
Session 57: Finding your niche: Niche Strategies and Competitive Advantage
Session 245: Competitors, strategy, and competitive dynamics
Tue: 08:00 – 09:15
Session 56: Competitive dynamics meet competitive strategy
Session 254: Capital Markets and Efficiency
Tue: 11:00 – 12:15
Session 58: Innovation and competitive strategy
Tue: 14:15 – 15:30
Session 60: The sustainability of competitive advantage
Session 61: Value creation and value capture
Tue: 15:45 – 17:00
Session 62: Acquiring competitive success? Mergers and acquisitions
Tue: 17:30 – 18:45
Session 59: Tempus fugit? Competitive strategy over time

Strategic Management Society