Corporate communication in the emerging network economy: A provider of common knowledge

This paper draws on ideas in economics and game theory to develop a new theory of marketing in the emerging network economy. The paper argues that in a network economy, firms and consumers will confront 'coordination problems'. With the emerging network economy all this becomes urgent because the availability and cost of information decreases. Also, timing issues become urgent as millions of people get access to the same information simultaneously. That explains why events where masses of viewers simultaneously participate in the same events become so important. The paper introduces a simple game theoretic model and discusses marketing applications and possible strategies. These strategies imply considerable use of communication resources in order to fulfil the common knowledge requirements.