Strategy as move and countermove
Competitive advantage is dynamic, built through action and rivals' reactions rather than static positioning. Firms must anticipate responses before acting.
Wharton on dynamic competitive strategy
4 ideas
Competitor response profiles
The book models how specific rivals will react to price, product, and promotion moves. Predicting reactions is treated as a core analytic task.
Game-theoretic view of markets
Signaling, commitment, and deterrence shape competitive equilibria. Strategy is analyzed through the logic of interdependent decisions.
Advantages erode and must be renewed
Any edge decays as competitors imitate it. Sustaining advantage requires continually rebuilding capabilities.