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Navigating the Competitive Landscape: The Drivers and Consequences of Competitive Aggressiveness

Walter J. Ferrier
The Academy of Management Journal
Vol. 44, No. 4 (Aug., 2001), pp. 858-877
Published by: Academy of Management
Stable URL: http://www.jstor.org/stable/3069419
Page Count: 20
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Navigating the Competitive Landscape: The Drivers and Consequences of Competitive Aggressiveness
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Abstract

By defining strategy as a sequence of competitive actions carried out over time, I develop and test a dynamic process model of competitive interaction among firms. Results based on a sample of thousands of competitive actions carried out by rivals competing in 16 different industries over a seven-year period suggest that characteristics of firms' sequences of competitive actions account for differences in their relative performance. The findings also suggest that a firm's sequence of competitive actions is influenced by top management team heterogeneity, past performance, slack, and three important industry characteristics.

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