Coopetition amongst hotels in South Africa : a case study of coopetition amongst five-star hotels in Cape Town, South Africa

Titmas, Kerrin (2012-12)

Thesis (MBA)--Stellenbosch University, 2012.


Coopetition is the simultaneous cooperation and competition amongst competitors (Gnyawali & Madhaven, 2001); the objective being mutually beneficial results (Oxford, 2012). It is a fairly new concept and has not widely been applied to the hospitality industry. Most of the research that exists on this topic relates to destination marketing, cooperation or competition in tourism and hospitality; very little looks at coopetition. The current economic situation, and as its negative impact on the hospitality industry in South Africa, has provided a need to explore how hotels are able to work together in order to retain their position in the market as well as gain a competitive edge over one another and other markets. The primary objective of the research report is to contribute to coopetition theory, specifically in the hospitality industry. The study is based on research of the interaction between the network of fivestar hotels in Cape Town. It explores their relationships with one another and with other hotels in South Africa. The secondary objective is to answer a number of subordinate research questions which provide insight into the factors that promote or hinder coopetition. It considers the reasons for coopetition, the role of third parties in the relationship, the impact of geographic location on these relationships, amongst other factors. The results of the study have provided insights as to how factors internal and external to the organisations impact their willingness to cooperate with their competitors. The study determines reasons for coopetition, activities where it is present and shares the impact of the coopetitive initiatives to date. It confirms some of the existing theory and highlights areas where there is scope for future research.

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