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Coordination and Status Influence

Author

Listed:
  • C. Robert Clark

    (HEC Montreal, robert.clark@hec.ca)

  • Samuel Clark

    (University of Western Ontario, sclark4@uwo.ca)

  • Mattias K. Polborn

    (Economics Department at the University of Illinois, polborn@uiuc.edu)

Abstract

We develop a model to explain why the influence of higher-status individuals is often accepted even when status is not an indication of superior information or competence. We propose such acceptance as a rational strategy in cases where coordination is important. In our model agents must select from among a set of alternatives after witnessing the choices of some group of initial movers, one of whom is assumed to be of high status. These agents would like to select the better alternative, but would also like to coordinate with as many others as possible. If a high-status individual is more prominent, he or she can be used as a coordination device. We determine in what situations agents weigh the behavior of higher-status agents more heavily than that of other agents, and whether the total utility of agents is improved as a result of the existence of high-status individuals.

Suggested Citation

  • C. Robert Clark & Samuel Clark & Mattias K. Polborn, 2006. "Coordination and Status Influence," Rationality and Society, , vol. 18(3), pages 367-391, August.
    • Handle: RePEc:sae:ratsoc:v:18:y:2006:i:3:p:367-391
    DOI: 10.1177/1043463106066379
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    References listed on IDEAS

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    Cited by:

    1. Hongjie Sun & Xiaoting Xu & Xiaobing Xu, 2025. "When social media sharing backfires: how early sharing intention shapes divergent consumer choices," Marketing Letters, Springer, vol. 36(3), pages 669-687, September.
    2. Amanda J. Sharkey & Balázs Kovács, 2018. "The Many Gifts of Status: How Attending to Audience Reactions Drives the Use of Status," Management Science, INFORMS, vol. 64(11), pages 5422-5443, November.
    3. Keuschnigg, Marc, 2015. "Product Success in Cultural Markets: The Mediating Role of Familiarity, Peers, and Experts," MPRA Paper 63444, University Library of Munich, Germany.
    4. Francesco Renzini, 2025. "Network formation dynamics in asymmetric coordination games," Rationality and Society, , vol. 37(3), pages 356-394, August.

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