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Otero Neira, M. C.
Varela Neira, M. C.
Year of Publication: 
[Journal:] Investigaciones europeas de dirección de la empresa (IEDEE) [ISSN:] 1135-2523 [Volume:] 14 [Year:] 2008 [Issue:] 1 [Pages:] 33-50
The dynamic of a competitive strategy is reflected in the actions and reactions of rival companies within the marketplace. Daily we can see how the actions taken by a company in order to achieve its goals are counter reacted by its rivals. Given this relationship, the effectiveness of a strategy can not be analyzed without considering the responses, or reactions, of other companies in the industry. The line of research based on the action-reaction dynamics implies that the probability that rival companies respond to a competitive attack is influenced by the characteristics of: the action itself as well as those of the initiating company. The action-reaction model allows us justify theoretically a series of hypothesis which link the characteristics of a competitive action with the number of companies responding to such action. Afterwards, we will empirically check this hypothesis -using multivariate analysis- with data obtained from the responses of a survey mailed to the Marketing managers of Spanish Companies.
competitive interaction
competitive behavior
competitive orientation
action-reaction dichotomy
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