Unintentional coopetition in the service industries: The case of Pyhä-Luosto tourism destination in the Finnish Lapland

SummaryThe rise of the service industries has changed operational business environments and mixed the roles and blurred the boundaries of private and public sectors. While cooperation has become more evident and more diverse, also simultaneous cooperation and competition between different firms and the firm and the public sector, namely coopetition, is gaining an increasing importance. We consider intentional and unintentional coopetition between firms and the public sector within the service industries by using Pyhä-Luosto tourism destination in Lapland, Finland, as a context of analysis. The analysis stresses, first, the challenging tension between cooperation, competition and coopetition in a tourism destination, and secondly, both strategically planned and unintended, more instinctive coopetition. In particular, the case illustrates interplay between public and private sectors, the relationship between strategic and operational levels of development work, and emphasises the role of the surrounding region in development.