Recently, the idea of the smart grid has been gaining significant attention and has become a hot research topic. The purpose of this paper is to present a novel smart grid management scheme that uses game theory principles. In our proposed scheme, power appliances in the smart grid adaptively form groups according to the non-cooperative hedonic game model. By exploiting multi-appliance diversity, appliances in each group are dynamically scheduled in a cooperative manner. For efficient smart grid management, the proposed coopetition game approach is dynamic and flexible to adaptively respond to current system conditions. The main feature is to maximize the overall system performance while satisfying the requirements of individual appliances. Simulation results indicate that our proposed scheme achieves higher energy efficiency and better system performance than other existing schemes.