Instructional goals
Managerial Economics is concerned with the application of economic principles and methodologies to key management decisions within organizations. It provides principles to foster the goals of the organization, as well as a better understanding of the external business environment in which an organization operates, focusing in particular on the global scale.
Prerequisites
Microeconomics
Intended learning outcomes
Students are expected to learn the fundamental economic theories of the firm, the internationalization strategies, and the evolution of the global value chains. Students will be able to navigate current trends of the organizational changes, industry strategies and the evolution of the global economy.
Course Contents
Topics will span from the various theories of the firm, technological change, to the management of intellectual property rights in a global context, global value chain and multinational corporations. While the material is theoretical and analytical, it is not mathematically technical.
Reference Books
Papers and handouts
Teaching Methods
Standard class.
Case study approaches.
Team works, e.g. motions.
Invited speakers.
Open discussions based on hands-out provided by the teacher
Assessment Method
The grade is based on the continuous assessment process.
In particular:
- intermediate written assignment in class (30% of the grade)
- Assignment in class: discussing motion (20%)
- participation during case study classes (20%)
- final exam (30%)
Exam for non-attending students
- final exam on the whole programme
- additional short paper to be agreed and discussed with the professor
Thesis assignment criteria
At least 30/30 grade at the exam
Week 1 Contenuto sessioni on line e on campus
Introductory fundamental microeconomics: The neoclassical theory of the firm.
The classical theory of the market functioning.
The theory of the firm 1: Readings: Paper: “The nature of the firm”, by R. Coase.
Week 2 Contenuto sessioni on line e on campus
The theory of the firm (2):
Readings: paper “The Economics of Organization: The Transaction Cost Approach”, by O. Williamson.
Week 3 Contenuto sessioni on line e on campus
A dynamic theory of the firm: the evolutionary approach of Nelson and Winter and the dynamic capabilities approach.
Paper: the “The Behavioural, Evolutionary, and Dynamic Capabilities Theories of the Firm: Retrospective and Prospective dynamic capabilities approach”, by L. Pierce and D. Teece.
Week 4 Contenuto sessioni on line e on campus
The knowledge economy and the knowledge based theory.
Readings: paper “Towards a knowledge-based theory of the firm”, by R. Grant.
Week 5 Contenuto sessioni on line e on campus
Profiting from innovation.
Reading: paper "Profiting from innovation", by Teece
Week 6 Contenuto sessioni on line e on campus
The international location of multi- national corporations and the product cycle of the industry.
Reading: paper “International investment and international trade” in the product cycle by R. Vernon.
Week 7 Contenuto sessioni on line e on campus
The theory of transnational corporations.
Reading: paper "Knowledge of the firm and the evolutionary theory of the MNCs" by Kogut and Zander
Week 8 Contenuto sessioni on line e on campus
The digital multinational corporations.
Reading: "Paper by Grazia Ietto Gillies "Digitalization and the Transnational
Corporations"
Week 9 Contenuto sessioni on line e on campus
The rise of global value chains.
Reading: paper Baldwin "Global supply chains".
Week 10 Contenuto sessioni on line e on campus
The rise of global clusters.
Reading: paper by P. McCann on clusters and global value chains.
Week 11 Contenuto sessioni on line e on campus
The innovation activity of multinational corporations.
Reading: chapter "Innovation in reverse"
Week 12 Contenuto sessioni on line e on campus
Class revision of the programme