Providing a Framework for Competitive Strategies Based on the Co-Creation Approach in Iran’s Petro-Refining Industry

Authors

    Mohammad Heidari Behbahani PhD Student, Department of Industrial Management, Faculty of Management and Accounting, Allameh Tabatabaei University, Tehran, Iran.
    Abolfazl Kazazi * Professor, Department of Operations Management and Information Technology, Faculty of Management and Accounting, Allameh Tabatabaei University, Tehran, Iran. kazazi@atu.ac.ir
    Maghsoud Amiri Professor, Department of Operations Management and Information Technology, Faculty of Management and Accounting, Allameh Tabatabaei University, Tehran, Iran.
    Soroush Baradaran Assistant Professor, Department of Chemical, Oil and Gas Engineering, Faculty of Chemical Engineering, University of Science and Technology, Tehran, Iran.

Keywords:

Competitive strategies, Co-creation, Petro-refinery industry, value chain

Abstract

Objective: The objective of this study is to develop a framework for competitive strategies based on the co-creation approach in Iran’s petro-refining industry to enhance organizational performance and strengthen competitive advantage.

Methodology: This study employed a qualitative design using thematic analysis. Data were collected from previous studies, coded, categorized, and analyzed. Core themes including participatory behaviors, co-production, and value-in-use were examined alongside dynamic capabilities such as sensing, integration, and reconfiguration, resulting in the development of a conceptual framework.

Findings: The results indicated that value co-creation through participatory behaviors, co-production, and value-in-use plays a critical role in generating competitive advantage. Dynamic capabilities such as sensing opportunities, integrating knowledge, and reconfiguring resources act as primary drivers of competitiveness. Profitability, cost management, and product differentiation were identified as direct outcomes of combining co-creation practices with dynamic capabilities.

Conclusion: This research revealed that adopting competitive strategies grounded in value co-creation can enhance the performance and sustainability of Iran’s petro-refining industry. Such strategies not only improve product quality and reduce costs but also strengthen organizational adaptability to environmental changes and sustainable development requirements.

Downloads

Download data is not yet available.

References

Agrawal, A. K., & Rahman, Z. (2015). Roles and Resource Contributions of Customers in Value Co-creation. International Strategic Management Review, 3(1), 144-160. https://doi.org/10.1016/j.ism.2015.03.001

Amadeh, H., Ghasemi, A., Mirzaei, H., & Bakhtiari, H. (2022). Analysis of the value chain of petrochemical products production and presenting an optimal model for petrochemical products production: Application of fuzzy multi-objective programming in petrochemical products production. Iranian Energy Economics Research Journal, 45(B), 42-69. https://jiee.atu.ac.ir/article_16505.html?lang=en

Amini, A. (2020). Investigating the effect of entrepreneurship strategy on company performance with the mediation of competitive strategy in companies of Rasht Industrial Town North Strategy Institute of Higher Education, Management Department].

Amiri, A., Heidari, S. A., & Mirabi, V. R. (2024). Value-added model of the petrochemical industry supply chain with a sustainable development approach. Quarterly Journal of Value Creation in Business Management, 4(3), 366-388. https://doi.org/10.61838/kman.jtesm.3.2.13

Aslan, S., Dikenb, A., & Aslan, A. (2011). Investigation of the Effects of Strategic Leadership on Strategic Change and Innovativeness of SMEs in a Perceived. Procedia Social and Behavioral Sciences, 24, 627-642. https://doi.org/10.1016/j.sbspro.2011.09.009

Bhat, D. A. R., & Sharma, V. (2021). Enabling service innovation and firm performance: the role of co-creation and technological innovation in the hospitality industry. Technology Analysis & Strategic Management, 1-13. https://doi.org/10.1080/09537325.2021.1919614

Caputo, F., Masucci, A., & Napoli, L. (2018). Managing value co-creation in pharmacy. International Journal of Pharmaceutical and Healthcare Marketing, 12(4), 374-390. https://doi.org/10.1108/IJPHM-10-2017-0057

Danneels, E. (2016). Trying to Become a Different Type of Company: Dynamic Capability at Smith Corona. Strategic management journal, 32(1), 1-31. https://doi.org/10.1002/smj.863

Galvagno, M., & Dalli, D. (2019). Theory of value co-creation: A systematic literature review. Managing Service Quality, 24(6). https://doi.org/10.1108/MSQ-09-2013-0187

Ghassim, B., & Bogers, M. (2019). Linking stakeholder engagement to profitability through sustainability-oriented innovation: A quantitative study of the minerals industry. Journal of Cleaner Production, 224, 905-919. https://doi.org/10.1016/j.jclepro.2019.03.226

Gholamreza-Zadeh, S. (2021). The effect of company capabilities and competitive strategies on export performance with an emphasis on the mediating role of competitive advantages and the moderating role of competitive intensity Payame Noor University of Semnan Province, Garmsar Payame Noor Center].

Guzmán, F., Paswan, A. K., & Kennedy, E. (2019). Consumer Brand Value Co-creation Typology. Journal of Creating Value, 5(1), 40-52. https://doi.org/10.1177/2394964318804712

Heim, I., Kalyuzhnova, Y., Li, W., & Liu, K. (2019). Value co‐creation between foreign firms and indigenous small‐and medium‐sized enterprises (SMEs) in Kazakhstan's oil and gas industry: The role of information technology spillovers. Thunderbird International Business Review, 61(6), 911-927. https://doi.org/10.1002/tie.22067

Hitt, M. A., Ireland, R. D., & Hoskisson, R. E. (2003). Strategic Management: Competitiveness and Globalization. Thomson South-Western. https://books.google.com/books/about/Strategic_Management.html?id=TO05qAAACAAJ

Ida, E. (2017). The role of customers' involvement in value co-creation behaviour is value co-creation the source of competitive advantage? Journal of Competitiveness, 9(3), 51-66. https://doi.org/10.7441/joc.2017.03.04

Javashi Jadid, S., Taheri Kia, F., Jalali, S. M., & Tabrizian, B. (2020). Presenting a model of value co-creation with the customer in the tourism industry.

Khodaei, F. (2021). Investigating the effect of marketing capabilities, competitive strategy, and marketing communications on export performance (Transportation companies of the Tehran Stock Exchange) Shahed University, Self-Governing Campus].

Kim, D. W., Trimi, S., Hong, S. G., & Lim, S. (2019). Effects of co-creation on organizational performance of small and medium manufacturers. Journal of Business Research. https://doi.org/10.1016/j.jbusres.2019.03.055

Kleber, D. M. S., & Juusola, K. (2021). Open Innovation-An Explorative Study on Value Co-Creation Tools for Nation Branding and Building a Competitive Identity. Journal of Open Innovation: Technology, Market, and Complexity, 7(4), 206. https://doi.org/10.3390/joitmc7040206

Mohseni, J. (2018). Presenting a model explaining the role of experience in co-creation University of Tehran, Farabi Campus - Faculty of Management and Accounting].

Okoeguale, A. (2023). Brand Value Co-creation Revisited: A Critical Review of Studies. Academic Journal of Interdisciplinary Studies, 12(2), 323. https://doi.org/10.36941/ajis-2023-0052

Oyewobi, L. O., Windapo, A., & Rotimi, J. O. B. (2016). Relationship between decision-making style, competitive strategies and organisational performance among construction organisations. Journal of Engineering, Design and Technology, 14(4), 713-738. https://doi.org/10.1108/JEDT-04-2015-0025

Payne, A., & Holt, S. (2001). Diagnosing customer value: Integrating the value process and relationship marketing. British Journal of Management, 12, 159-182. https://doi.org/10.1111/1467-8551.00192

Porter, M. (1980). Competitive Strategy: Techniques for Analyzing Industries and Competitors. The Free Press. https://books.google.com/books/about/Competitive_Strategy.html?hl=es&id=Nl21AAAAIAAJ

Rahmani Saresht, H., Khasheii Varnamkhasti, V., Ebrahimi, M., & Rahimian, M. (2018). Strategic value co-creation model in Iran's banking industry: Value creation in a new paradigm. Public Management Research, 11(40), 27-52. https://jmr.usb.ac.ir/article_4286.html?lang=en

Ranjan, K., & Read, S. (2014). Value co-creation: Concept and measurement. Journal of the Academy of Marketing Science, 44. https://doi.org/10.1007/s11747-014-0397-2

Saha, V., Hollebeek, L. D., Mani, V., Goyal, P., & Clark, M. (2025). Value co-creation: a metatheory unifying framework and fundamental propositions. Marketing Intelligence & Planning. https://doi.org/10.1108/MIP-03-2024-0163

Sahu, A., & Mukti, S. K. (2024). An evaluation techniques for business ecosystems. In (pp. 46-59). https://doi.org/10.58532/V3BHMA5P1CH4

Schilke, O. (2014). Second-order dynamic capabilities:How do they matter? Academy of Management Perspectives, 28(4), 368-380. https://doi.org/10.5465/amp.2013.0093

Solakis, K., Pena-Vinces, J., & Lopez-Bonilla, J. M. (2022). Value co-creation and perceived value: A customer perspective in the hospitality context. European Research on Management and Business Economics, 28(1), 100175. https://doi.org/10.1016/j.iedeen.2021.100175

Teece, D. J. (2007). Explicating dynamic capabilities: The nature and microfoundations of (sustainable) enterprise performance. Strategic management journal, 28(13), 1319-1350. https://doi.org/10.1002/smj.640

Tilsted, J. P., Bauer, F., Deere Birkbeck, C., Skovgaard, J., & Rootzén, J. (2023). Ending fossil-based growth: Confronting the political economy of petrochemical plastics. One Earth, 6(6), 607-619. https://doi.org/10.1016/j.oneear.2023.05.018

Van Nguyen, T. T. B. N. (2024). Service Quality as a Catalyst for Competitive Advantage and Business Performance in Hotel Industry: An Empirical Analysis by PLS-SEM Algorithm. International Journal of Analysis and Applications, 22, 141. https://doi.org/10.28924/2291-8639-22-2024-141

Wilden, R., Gudergan, S. P., Nielsen, B. B., & Lings, I. (2013). Dynamic capabilities and performance: Strategy, structure and environment. Long Range Planning, 46(1-2), 72-96. https://doi.org/10.1016/j.lrp.2012.12.001

Winter, S. (2003). Understanding dynamic capabilities. Strategic management journal, 33(2), 91-101. https://doi.org/10.1002/smj.318

Yi, Y. (2013). Customer value co-creation behavior: Scale development and validation. Journal of Business Research, 66(9), 1279-1284. https://doi.org/10.1016/j.jbusres.2012.02.026

Zhang, J., Jiang, Y., Shabbir, R., & Du, M. (2015). Building industrial brand equity by leveraging firm capabilities and co-creating value with customers. Industrial Marketing Management. https://doi.org/10.1016/j.indmarman.2015.05.016

Zhou, S. S., Zhou, A. J., Feng, J., & Jiang, S. (2019). Dynamic capabilities and organizational performance: The mediating role of innovation. Journal of Management & Organization, 25(5), 731-747. https://doi.org/10.1017/jmo.2017.20

Downloads

Published

2025-10-07

Submitted

2025-06-22

Revised

2025-09-06

Accepted

2025-09-13

Issue

Section

مقالات

How to Cite

Heidari Behbahani, M. ., Kazazi, A., Amiri, M. ., & Baradaran, S. . (1404). Providing a Framework for Competitive Strategies Based on the Co-Creation Approach in Iran’s Petro-Refining Industry. Dynamic Management and Business Analysis, 1-17. https://dmbaj.org/index.php/dmba/article/view/235

Similar Articles

1-10 of 124

You may also start an advanced similarity search for this article.