STRAMGT 630. Economics of Strategy and Organization

This seminar examines economic approaches to the classic issues of strategic management. Topics include "outside the firm" areas of research such as industry and competitor analysis, switching costs, network externalities, nonlinear pricing, and pricing with naive consumers as well as "inside the firm" areas such as leadership, allocation of authority, and organizational complementarities. The seminar also considers research on the boundaries of the firm includingvertical integrations, contractual channel relationships, and the relationship of financial structure and strategy. Empirical work is emphasized, but theoretical work is also examined, especially as it informs the empirical work. Class sessions combine lectures, discussions and student presentations. Discussions emphasize evaluating the research methods employed in the papers and identifying opportunities for future research. For selected topics, we briefly discuss an MBA-style case study relevant to the topic. This provides "real-world" examples to inform the research and to familiarize students with MBA teaching.