University of Amsterdam, Netherlands
Information imperfections, and asymmetrical information in particular, haveprimarily been regarded as impediments to the economic efficiency of markets; they haveseldom been explored as opportunities to earn economic rents. This article builds an informationstrategy framework by elaborating on the strategic opportunities that exist for firms in marketsthat fail to satisfy the perfect information condition of neoclassical economic theory. Wepropose â€˜InfoRentâ€™ as a new economic rent type that results from exploiting the inherentopportunities of incomplete and asymmetrical information and introduce a fundamentaldifference in information strategy decisions: firms can either resolve or consolidate instances ofinformation imperfections in markets. These generic information strategy decisions are thensynthesized into four theoretical propositions on InfoRent-earning possibilities for firms.Finally, these propositions are tentatively tested through a sector study that examines the Dutchleisure travel industry through the lens of the information strategy of one of the key players inthis industry, tour operator TravelCom.
Truijens, Onno and Huizing, Ard, " The Strategic Potential of Information Imperfections:An Information Strategy Framework for Seeking InfoRent" (2008). All Sprouts Content. 91.