ECO650: Firms' Strategies and Markets


This course aims at equipping students to understand complex strategies that firms apply to maximize their profits. Emphasis is given to pricing, advertising and innovation strategies of firms in a static and/or a dynamic perspectives. The range of strategies analyzed is wide because firms operate in diverse market organizations (various competitive environments, direct sales vs indirect sales to consumers) and demand conditions (uncertainty, consumers’ heterogeneity, imperfect information of consumers about prices and products).

The methodology used is Microeconomic Theory and Industrial Organization.

Each class (3 h) will contain a case study (0,5 h), theory (1,5 h)  and exercises (1 h) .

Themes of Classes

Multiproduct firms’ pricing

Advertising strategies

Entry deterrence and entrants’ strategies

Dynamic pricing

Vertical Contracts and Vertical Integration

Vertical Relationships and Bargaining

Innovation and R&D

Consumers economics and pricing strategies