Sources and management of tension in co-opetition case evidence from telecommunications satellites manufacturing in Europe

• Three levels of coopetitive tensions are highlighted: inter-organizational, intra-organizational and inter-individual
• Multiple sources of coopetitive tensions are investigated and characterized at each level
• Empirical evidence to the implementation of the separation principle to efficiently manage coopetition at the three levels
• Empirical evidence to the implementation of the integration principle to efficiently manage coopetition at the three levels
• Effective management of co-opetition is about being able to effectively combine simultaneously both separation and integration principles

Co-opetition is filled with tension due to inherent contradictory and opposing forces. In this research, we develop a multi-level conceptual framework that helps to understand key drivers of tension in co-opetition and key approaches to managing the tension. We combine literature-based conceptual arguments and insights from in-depth study of one exemplar case of co-opetition between Astrium (EADS group) and Thales Alenia Space (Thales group) within the sector of telecommunications satellites manufacturing in Europe. Our findings highlight multiple sources of co-opetitive tension at different levels. Further, our research shows that a mixed organization based on both separation and integration of competition and cooperation is helpful to understand and effectively manage tension in co-opetition. This paper offers case-based rich insights on the sources and management of tension and has important implications for the design and conduct of future empirical research.