Coordination in complex environments

Pietro Dall'Ara

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arXiv · 2604.24757

Coordination in complex environments

Pietro Dall'Ara

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Abstract

Coordination is an important aspect of innovative contexts, where: the more innovative a course of action, the more uncertain its outcome. To study the interplay of coordination and informational ``complexity'', I embed a beauty-contest game into a complex environment. I identify a new conformity phenomenon. This effect may push towards the exploration of unknown alternatives or constitute a status-quo bias, depending on the network structure of players' interactions. In an application, I show that an organization with decentralized authority can implement profit maximization in a sufficiently complex environment.

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Pietro Dall'Ara. 2026-04-27. Coordination in complex environments. https://arxiv.org/abs/2604.24757

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