A Biform Analysis of Coopetition in Green Co-Creation

Abstract

Green co-creation plays a vital role in promoting sustainability by engaging both firms and consumers in value creation, yet most studies examine competition and cooperation separately without considering their interplay. This study investigates the dynamics of coopetition in green co-creation by developing a two-stage biform game that integrates competitive interaction and cooperative bargaining within a unified framework. The results show that (1) greater green co-creation efforts, representing deeper firm–customer interactions, improve both parties’ equilibrium outcomes; (2) cooperation leads to greater green effort investment than pure competition; and (3) when Nash bargaining conditions are satisfied, coopetition improves both individual profits and total welfare compared with sole competition. These findings highlight that coopetition not only strengthens mutual economic benefits, but also enhances sustainability performance by balancing competitive and cooperative forces. This study provides an analytical foundation for understanding firm–customer coopetition and offers actionable insights for advancing sustainable value creation in green supply chain management.