The antecedents and consequences of coopetition within international joint ventures: Evidence from China

Abstract

While prior literature has emphasized that coopetition is a critical strategic choice that can enhance a firm’s competitive advantage, the antecedents and consequences of the strategy in the international context remain underexplored. Based on the relational view, this study examines whether resource complementarity and goal compatibility foster coopetition between foreign and local partners in international joint ventures (IJVs) and in turn improve performance outcomes. Drawing on the empirical analyses of coopetition between partners in 165 IJVs in China, this study finds that partner resource complementarity and partner goal compatibility are positively associated with coopetition, which in turn correlates with improved IJV performance. Institutional and industrial environments are associated with the effectiveness of resource complementarity and goal compatibility. These findings offer valuable insights for IJV managers seeking to manage cooperation and competition between partners.