On the relation between multimarket contact and service quality: Mutual forbearance or network coordination?

2016 ◽  
Vol 37 (10) ◽  
pp. 2121-2134 ◽  
Author(s):  
Peran van Reeven ◽  
Enrico Pennings
Keyword(s):  
Service Quality ◽  
Multimarket Contact ◽  
Mutual Forbearance ◽  
Network Coordination

Multimarket Contact and Mutual Forbearance in Audit Markets

2021 ◽  
Author(s):  
Simon Dekeyser ◽  
Ann Gaeremynck ◽  
W. Robert Knechel ◽  
Marleen Willekens
Keyword(s):  
Multimarket Contact ◽  
Mutual Forbearance

Competitive Dynamics

Management ◽  
2019 ◽  
Author(s):  
Anja Tuschke ◽  
Viktoria Judith Salomon
Keyword(s):  
Theoretical Perspective ◽  
Large Body ◽  
Performance Outcomes ◽  
Competitive Dynamics ◽  
Multimarket Contact ◽  
Michael Porter ◽  
Mutual Forbearance ◽  
Multimarket Competition ◽  
Competitive Dynamics Research ◽  
Competitive Actions

This article introduces research in competitive dynamics, a collection of work that has developed within the field of strategic management since the late 1980s. Competitive dynamics is the study of interfirm rivalry constituted of competitive actions and responses, their micro- and macro-level context as well as their antecedents and consequences (Chen and Miller 2012, cited under Reviews). Related research addresses fundamental questions such as: “Why do firms engage in competitive rivalry?” “What characterizes the competitive interaction between firms?” “How do focal firms’ competitive actions and rivals’ responses influence firm performance?” “How do contextual factors influence competitive dynamics?” Competition has long been at the center of academic debate, starting with the analysis on the functioning of economic markets and Adam Smith’s welfare competition. While this debate had traditionally been dominated by economists, scholars such as Michael Porter introduced a management perspective on competition. Within the management discipline, two conceptions of competition developed. In a more static conception based on economic theory, competition was formalized as an inherent characteristic of market structures, viewing market forces as determinants of the degree and the type of competition within an industry (Baum and Korn 1996, cited under Multimarket Contact, Multimarket Competition, and Mutual Forbearance). A second conception was motivated by Joseph Schumpeter’s concept of “creative destruction” and the Austrian school of economics (Smith, et al. 2001, cited under Reviews). This dynamic conception of competition accentuates the individual behavior of each competing firm (Baum and Korn 1996, cited under Multimarket Contact, Multimarket Competition, and Mutual Forbearance) and became known as “competitive dynamics research.” It assumes that performance differences between firms operating in the same industry are the result of competitive actions that are aimed at obtaining successive temporary advantages (Young, et al. 1996, cited under Competitive Actions: Characteristics, Drivers, and Performance Outcomes). Since the beginning of the 1990s, the competitive dynamics research program has flourished, and a large body of work has emerged within the literature on competitive strategy, consisting of several sub-streams such as competitive action and response, first-mover advantage, and multimarket competition(Ketchen, et al. 2004, cited under Reviews). Research within these sub-streams is largely unified by its reliance on a common theoretical perspective, the awareness-motivation-capability (AMC) framework (Chen 1996, cited under Awareness-Motivation-Capability Framework). Leading scholars in the field of competitive dynamics are, among others, Ming-Jer Chen, Walter J. Ferrier, Danny Miller, and Ken G. Smith.

Multimarket Contact and Mutual Forbearance in Audit Markets

2019 ◽  
Author(s):  
Simon Dekeyser ◽  
Ann Gaeremynck ◽  
W. Robert Knechel ◽  
Marleen Willekens
Keyword(s):  
Multimarket Contact ◽  
Mutual Forbearance

Multimarket Contact, Strategic Alliances, and Firm Performance

2015 ◽  
Vol 44 (4) ◽  
pp. 1551-1572 ◽  
Author(s):  
You-Ta Chuang ◽  
Kristina B. Dahlin ◽  
Kelly Thomson ◽  
Yung-Cheng Lai ◽  
Chun-Chi Yang
Keyword(s):  
Firm Performance ◽  
Market Share ◽  
Strategic Alliances ◽  
Multimarket Contact ◽  
Mutual Forbearance ◽  
Negative Effect ◽  
Multimarket Competition ◽  
The Relationship ◽  
Positive Effect

Research on multimarket contact and firm performance has produced mixed results. To reconcile this discrepancy, we theorize how varying levels of multimarket contact may generate mutual forbearance that influences firm performance. We also examine how strategic alliances moderate the relationship between levels of multimarket contact and firm performance. Our analysis of 233 semiconductor firms across 52 markets reveals that multimarket contact has an inverted U-shaped relationship with a multimarket firm’s market share. The number of strategic alliances that a firm has helps to further extend the positive effect of multimarket contact and mitigate its negative effect on the firm’s market share. Accordingly, our study contributes to the literature on multimarket competition by shedding light on the conditions under which multimarket contact may increase/decrease firm performance.

Sign in / Sign up

Export Citation Format

Share Document