We will apply tools from microeconomics and game theory to the analysis of strategic decision making by firms. Specific topics covered include the sources of industry and firm profitability, strategic positioning, sustainable competitive advantage, the boundaries of the firm, incomplete contracts, vertical integration, strategic commitment, dynamic pricing, entry and exit, network effects, and platform markets. My goal in the class is to get students to think like an economist about firm strategy.
The course is designed for students who are very comfortable with microeconomics at the level of 33001. Students may contact the professor if they are unsure whether they have sufficient microeconomics background for the course. Classes will combine case analysis and discussions with lectures.
BUSN 33001 or ECON 20000 are strongly recommended, but not required. Students must be very comfortable with the microeconomics at that level. Cannot enroll in BUSN 42001 if BUSN 20900 taken previously. No undergraduates. No non-Booth Students.
Articles and case materials will be distributed via the course website. There are two required books. There will be additional optional readings posted each week to the course website.
Based on class participation, assignments, a mid-term, and a final. Cannot be taken pass/fail. No auditors.
- No pass/fail grades
- No auditors
Description and/or course criteria last updated: November 13 2023
