The Search for Hypercompetition: Evidence from a Nordic Market Study

Annesofie Lindskov; Kristian J. Sund; Johannes Kabderian Dreyer

The Search for Hypercompetition: Evidence from a Nordic Market Study

Annesofie Lindskov^*, Kristian J. Sund, Johannes Kabderian Dreyer

^*Corresponding author for this work

Research output: Contribution to conference › Paper › Research › peer-review

Abstract

Some scholars and practitioners argue that markets have become hypercompetitive, decreasing the opportunities for sustainable competitive advantage. We test for increasing competition in a panel of 266 Danish firms from 7 industries over the period 1980-2017. We find no support for the argument that the market across industries has become hypercompetitive over this period. The durability of abnormal business returns has remained stable. Dynamism only changed in the 1980s, and levels of munificence are also stable. We do, however, find a small decrease in the survival probability rate of firms over time. Our results lead us to caution against the use of hypercompetition as a universal label for the state of contemporary competition.

Original language	English
Publication date	2020
Number of pages	43
Publication status	Published - 2020
Event	2020 DRUID PhD Academy Conference - University of Southern Denmark, Odense, Denmark Duration: 16 Jan 2020 → 17 Jan 2020

Conference

Conference	2020 DRUID PhD Academy Conference
Location	University of Southern Denmark
Country/Territory	Denmark
City	Odense
Period	16/01/2020 → 17/01/2020

Keywords

hypercompetition
sustainable competitive advantage
resource-based view
competitive dynamics

1 Finished

Innovation and Hypercompetition in a Global Context
Sund, K. J., Dreyer, J. K. & Lindskov, A.
Sino-Danish Center for Education and Research
01/12/2018 → 31/12/2022
Project: Research

EliteForske-Rejsestipendium 2021
Lindskov, Annesofie (Recipient), 6 May 2021
Prize: Prizes, scholarships, distinctions

Cite this

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title = "The Search for Hypercompetition: Evidence from a Nordic Market Study",

abstract = "Some scholars and practitioners argue that markets have become hypercompetitive, decreasing the opportunities for sustainable competitive advantage. We test for increasing competition in a panel of 266 Danish firms from 7 industries over the period 1980-2017. We find no support for the argument that the market across industries has become hypercompetitive over this period. The durability of abnormal business returns has remained stable. Dynamism only changed in the 1980s, and levels of munificence are also stable. We do, however, find a small decrease in the survival probability rate of firms over time. Our results lead us to caution against the use of hypercompetition as a universal label for the state of contemporary competition.",

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note = "2020 DRUID PhD Academy Conference ; Conference date: 16-01-2020 Through 17-01-2020",

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T2 - 2020 DRUID PhD Academy Conference

AU - Lindskov, Annesofie

AU - Sund, Kristian J.

AU - Dreyer, Johannes Kabderian

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Y1 - 2020

N2 - Some scholars and practitioners argue that markets have become hypercompetitive, decreasing the opportunities for sustainable competitive advantage. We test for increasing competition in a panel of 266 Danish firms from 7 industries over the period 1980-2017. We find no support for the argument that the market across industries has become hypercompetitive over this period. The durability of abnormal business returns has remained stable. Dynamism only changed in the 1980s, and levels of munificence are also stable. We do, however, find a small decrease in the survival probability rate of firms over time. Our results lead us to caution against the use of hypercompetition as a universal label for the state of contemporary competition.

AB - Some scholars and practitioners argue that markets have become hypercompetitive, decreasing the opportunities for sustainable competitive advantage. We test for increasing competition in a panel of 266 Danish firms from 7 industries over the period 1980-2017. We find no support for the argument that the market across industries has become hypercompetitive over this period. The durability of abnormal business returns has remained stable. Dynamism only changed in the 1980s, and levels of munificence are also stable. We do, however, find a small decrease in the survival probability rate of firms over time. Our results lead us to caution against the use of hypercompetition as a universal label for the state of contemporary competition.

KW - hypercompetition

KW - sustainable competitive advantage

KW - resource-based view

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M3 - Paper

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ER -

The Search for Hypercompetition: Evidence from a Nordic Market Study

Abstract

Conference

Keywords

Projects

Innovation and Hypercompetition in a Global Context

Prizes

EliteForske-Rejsestipendium 2021

Cite this