Regional-level coopetition strategies and company performance: evidence from the Canadian wine industry

Regional-level coopetition (collaboration among competitors in rural communities) has been linked to company performance. That said, there could be conditions (moderators) that help or hinder these networks from fulfilling such outcomes. This investigation examines the nature of the relationship between regional-level coopetition and company performance under key moderating effects. A resource-based theoretical lens is utilized to underpin the study. Following field interviews to shape the operationalizations and survey instructions, a quantitative study was undertaken in the Canadian wine industry to test the elements of the conceptual framework. The findings revealed that while regional-level coopetition drives company performance, regional-level rivalry negatively impacts this association. Surprisingly, industry experience intensified the potential dark-sides of these activities. As such, improved evidence has emerged on how coopetition strategies can be implemented in rural communities through the underlying mechanisms that can assist decision-makers of small enterprises to enhance their performance. Additionally, stronger insights are offered regarding a relational, stakeholder perspective of resource-based theory, in terms of how decision-makers may need to work with complementary and trustworthy rivals that can assist them to increase their company performance in competitively intensive environmental-level conditions.