The spatial competition from the perspective of competitive strategy


Sérgio Evangelista Silva, Thiago Augusto Oliveira de Silva, and Naira Mota Araújo. 2019. “The spatial competition from the perspective of competitive strategy.” In XXXIX ENEGEP - Encontro Nacional de Engenharia de Produção, Pp. 1-15. Santos, SP. Publisher's Version


Even though the spatial competition is a crucial aspect of the competitive strategy of firms, it is still little approached in the competitive and marketing strategy literature. As such, the association between formal spatial models and the practice of spatial competition between firms should be approached. Addressing this gap in this article, we propose a more formal view of the spatial competition. Based on the concepts of the value of displacement for the customer and the value of location we present several aspects related to the difference in the location of outlets in a hypothetical city. Several measures such as market share, competitive advantage, and value of location, are calculated in this model. This article opens a new perspective to study the competitive positioning of firms in spatial markets.