BUSINESS ECONOMICS AND MANAGEMENT OF THE FIRM-1

This course is one of the main courses within the degree program in Business Administration and Management. This course aims to provide a basic understanding of how firms are structured and managed. In particular, this course focuses on the economic foundations of strategic decisions (cost functions, horizontal and vertical integration, analysis of competition), contemporary theories of the firm, and elements of organizational design and strategic management. This course also aims to present real-world business cases which would help students in learning the analytical skills required for industry analysis and business decisions.

understanding of and familiarity with business and management terminologies
understanding of business strategies and managerial decisions
understanding of the main tools of competitive analysis
development of analytical skills and teamwork capability
development of communication and presentation skills

Students are required to have passed the exams of "Principles of Management and International Accounting - 1" and "Principles of Management and International Accounting - 2".

1. Fundamentals of Business Economics and Management
2. Basic Principles: costs, profitability, demand, and revenues (Economics primer)
- Cost functions
- Long-run vs. short-run cost functions
- Sunk vs. avoidable costs
- Economic vs. accounting costs
- Total revenue and marginal revenue functions
3. Economies of Scale, Scope, Learning Curves
- Definitions
- Sources of economies
- Sources of diseconomies
- Diversification
4. Supply and Demand
5. Horizontal and Vertical Boundaries of the Firm
- Industry value chain, upstream, downstream
- Reasons, advantages, and disadvantages of Horizontal integration
- Reasons, advantages, and disadvantages of Vertical integration
- Make vs buy decisions
6. Competitors and Competition
- Competitor identification and market definition
- Measuring market structure
- Market structure and competition
7. Entry and Exit
- Basic concepts
- Entry-deterring strategies
- Entering new markets

David Dranove, David Besanko, Mark Shanley, Scott Schaefer (2017). Economics of Strategy, 7th Edition
Additional reading lists and materials will be provided during the course.

A written exam based on multiple-choice questions will be held to assess students. Further information regarding the exam and assessment criteria will be provided during the course. Students are also expected to perform given assignments during the course.

This course is based on interactive classroom lectures, numerical exercises, discussion of case studies, and group presentations. All materials used during classes would be available to students through the Moodle platform.

Exam Registration
Only registered students will be able to take the exam.

Accessibility, disability, and inclusion
Accommodation and support services for students with disabilities and students with specific learning disabilities.

Ca 'Foscari complies with Italian law (Law 17/1999; Law 170/2010) regarding support and accommodation services available to students with disabilities. This includes students with motor, visual, hearing and other disabilities (Law 17/1999) and with specific learning disabilities (Law 170/2010). If you have a disability or impairment that requires accommodation (e.g. alternative tests, readers, take notes or interpreters) contact the Disability and Accessibility Offices in Student Services: disable@unive.it

written

This subject deals with topics related to the macro-area "Cities, infrastructure and social capital" and contributes to the achievement of one or more goals of U. N. Agenda for Sustainable Development