Coopetition Networks for Small and Medium Enterprises: A Lifecycle Model Grounded in Service-Dominant Logic

Abstract

Small and medium enterprises (SMEs) are vital to the European economy, but sustaining coopetition networks—collaborative arrangements between competitors—remains challenging. In this study, this gap is addressed by developing a reference model and methodology for coopetition networks explicitly designed for SMEs and grounded in the service-dominant (S-D) logic framework. The model provides a structured approach for managing coopetition across the entire network lifecycle, from initiation to dissolution, emphasizing value co-creation and resource integration. A proof of concept (PoC) was implemented in the Portuguese ornamental stone sector to validate the model, revealing significant improvements in manufacturing effectiveness and demonstrating the model’s practical applicability. The results underscore the potential of coopetition networks to boost SMEs’ competitiveness and performance while identifying key trade-offs and risks, such as knowledge sharing and market cannibalization. Although the model addresses critical challenges, in this study, limitations are acknowledged and areas for future research are suggested, particularly in relation to the long-term sustainability of coopetition and the influence of interpersonal dynamics.

Keywords

• coopetition
• instantiation
• networks
• service-dominant logic
• service ecosystems