Cooperation versus Competition

We received a comment from Friday’s blog on manufacturing and the reader brought forward the idea of cooperation between manufacturers as method to increase knowledge and overall capabilities. The issue with this concept that they brought forward is that it is difficult to implement these relationships as so many company’s and their leaders are non-trusting and protective of their perceived competitive advantage.

This raises a great point as cooperation and competition are both great routes for success. Many believe that striving to be World Class or the industry leader means bettering their competitors and therefore developing new technologies and trade secrets that create a sell-able advantage.

Here are some good viewpoints on Cooperation versus Competition
Competition and Cooperation – BloombergBusinessWeek

To Compete or Cooperate: A Strategic Dilemma - Soren Kock, Maria Bengtsson, Susanna Slotte-Kock

Strategic Alliances: Why and How – Strategic Management

How your company approached these relationship will depend in the core values of your senior management team. However if you have a good leadership group they will be able to understand the balance that is required.

Cheers,

Lorne