Redefining industry structure for the information age

We are entering a new competitive age in which the basis of competition is being fundamentally altered through the introduction of advanced information technologies and public communication infrastructures, such as the Internet. In these environments, the nature and locus of competition will radically alter, as information becomes an increasingly important resource. This paper develops ideas around the strategic characteristics of information—information separability and information specificity. Moreover, it attempts to redefine the nature of industry structure in such a competitive environment by examining what constitutes the real boundaries of competition, industry concentration, related diversification, and innovation for firms competing in the Information Age. © 1998 John Wiley & Sons, Ltd.