Building on BE 510 Business Economics I, this module will provide an introduction to economic models of strategic decision-making and behavior of firms in the context of oligopolistic competition. Topics will include output and pricing strategies, the economics of collusion, market structure, market entry decisions and product differentiation. Some of these topics require a degree of analytical rigor and we will make use of some game-theoretical and mathematical methods.
By the end of the module students will have
Knowledge of introductory microeconomics at bachelor level, BE 510
|Forms of teaching and learning
|Independent study time
|Form of assessment
|Written exam (90 min)
Prof. Nicolas Schutz, Ph.D.
Lily Ling Yang, Ph.D.
|Frequency of offering
|Duration of module
|Range of application
|M.Sc. MMM, M.Sc. Bus. Edu.
|Preliminary course work
|Program-specific Competency Goals
|CG 1, CG 2
|Paul Belleflamme and Martin Peitz: Industrial Organization – Markets and Strategies
Perfect competition, Monopoly, Cournot, Bertrand, Stackelberg competition, Market entry
Horizontal differentiation, Bowley model, hoteling model, vertical product differentiation
Pricing Strategies and Price Discrimination
Dynamic Monopoly Pricing, Group Pricing, Menu Pricing, Bundling