Internet Economics and Digital Business

A.Y. 2019/2020
Lesson for
9
Max ECTS
60
Overall hours
SSD
SECS-P/01
Language
English
Learning objectives
The main goal of this course is to apply basic Industrial Organization theories to develop an understanding of the economic features of information technology, digital markets and internet businesses.

Course structure and Syllabus

Active edition
Yes
SECS-P/01 - ECONOMICS - University credits: 9
Lessons: 60 hours
ATTENDING STUDENTS
Syllabus
MODULE 1: Industrial organization
1. Course Introduction. Basic Micreoeconomics: Demand and costs. Profit maximization and efficiency. Monopoly and perfect competition.
2. Games and Strategy. Dominant and dominated strategies
3. Oligopoly competition. The Bertrand and the Cournot models. The Stackelberg model (leader - follower).
4. Collusion.
5. Price and non-price discrimination. Non linear prices.
6. Versioning, bundling and other strategies of consumer sorting.
7. Vertical relations; double marginalization.
8. Market Structure and Marker power.
10. Product differentiation; horizontal and vertical differentiation.
11. Product positioning, brand loyalty and switching costs.
12. Advertising; information, persuasion and signaling; price competition and advertising.
13. Research and Development; market structure and incentives for R&D; the dynamics of R&D competition.
14. Strategic behavior, entry and exit.

MODULE 2: High tech and digital markets
1. Markets with network effects. Critical mass. Compatibility. Dynamics of technology adoption. How to win a standards war.
2. Two-sided networks.
3. Frictionless economy.
NON-ATTENDING STUDENTS
Syllabus
MODULE 1: Industrial organization
1. Course Introduction. Basic Micreoeconomics: Demand and costs. Profit maximization and efficiency. Monopoly and perfect competition.
2. Games and Strategy. Dominant and dominated strategies
3. Oligopoly competition. The Bertrand and the Cournot models. The Stackelberg model (leader - follower).
4. Collusion.
5. Price and non-price discrimination. Non linear prices.
6. Versioning, bundling and other strategies of consumer sorting.
7. Vertical relations; double marginalization.
8. Market Structure and Marker power.
10. Product differentiation; horizontal and vertical differentiation.
11. Product positioning, brand loyalty and switching costs.
12. Advertising; information, persuasion and signaling; price competition and advertising.
13. Research and Development; market structure and incentives for R&D; the dynamics of R&D competition.
14. Strategic behavior, entry and exit.

MODULE 2: High tech and digital markets
1. Markets with network effects. Critical mass. Compatibility. Dynamics of technology adoption. How to win a standards war.
2. Two-sided networks.
3. Frictionless economy.
Lesson period
First trimester
Lesson period
First trimester
Assessment methods
Esame
Assessment result
voto verbalizzato in trentesimi
Professor(s)