Definition of communal strategy

This is when firms work together with other companies in the same sector to influence the institutions governing its industry.  Communal strategy is distinguished from competitive strategy, in which firms seek to gain advantage relative to their rivals.  When an industry is under threat, the normally rivalrous firms within it may cooperate in order to oppose a shared threat.  Often communal strategy is carried out through industry trade associations.

Example

During the global financial crisis, bankers have worked together to counter calls for stricter regulation in the wake of the near-collapse of the financial industry. [1]