Department of Economics and Business Economics

The internal competitor: buyer motives and marketing strategies

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Suppliers often face internal competitors. An internal competitor exists when a buyer simultaneously sources the same components from both an internal production unit and an external supplier. Based on a literature review we identify several different buyer motives for supporting such internal competitors. Though it may be difficult for an external supplier to immediately identify relevant buyer motives, the different motives suggest that these buyers should be targeted with different marketing strategies. For each buyer motive possible marketing strategies are suggested and briefly discussed. For example, it is discussed (1) how the external supplier may try to replace the internal competitor, (2) how the external supplier may try to operate in parallel with the internal competitor, and (3) when the external supplier should refuse to deliver to a customer with internal production of the same components.

Original languageEnglish
JournalJournal of Strategic Marketing
Volume27
Issue5
Pages (from-to)405-416
Number of pages12
ISSN0965-254X
DOIs
Publication statusPublished - 2019

    Research areas

  • Internal competitor, business-to-business, buyer behaviour, marketing strategies, SUPPLIER DEVELOPMENT, IMPACT, CAPABILITIES, PLURAL GOVERNANCE, REVERSE, FIRM, COMPLEMENTARITY

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