as a macro phenomenon on the firm and industry level, conversely, has been studied
extensively in the strategic management literature (Gnyawali & Madhavan, 2001;
Hambrick, Cho, & Chen, 1996; Haveman & Nonnemaker, 2000). Therefore, it is
somewhat surprising that competitiveness, as a micr-o level phenomenon has not been
addressed as much.
The extant literature on competition has been mainly focused on individual
decision-making, negotiation, and group performance in experimental settings. This
literature builds upon the theory of cooperation and competition (Deutsch, 1949;
Deutsch, 1973) and identifies three social motives: individualistic, competitive, and
prosocial (De Dreu & Van Lange, 1995; De Dreu et al., 2000). According to De Dreu et
al.’s (2000) comprehensive meta-analysis, social motives can be rooted in stable
individual differences or in the situation. From an individual difference perspective,
people possessing an individualistic social value have the propensity to maximize their
own outcomes (De Dreu & Van Lange, 1995; McClintock & Liebrand, 1988).
Competitive orientation is characterized by willingness to maximize one’s own outcomes
at the expense of others (De Dreu & Van Lange, 1995; McClintock & Liebrand, 1988).
Finally, those who have prosocial values are similar to altruists inasmuch as they want to
maximize the joint gain in negotiations (De Dreu & Van Lange, 1995). Certain aspects of
the situation such as the task structure (McClintock & Liebrand, 1988) have been found
to affect the relationship between social value orientation and negotiation behavior as
The early experiments on cooperation and competition (Deutsch, 1949) suggest
that incentives may influence the incidence of cooperative, individualistic, and