MBA 2436 Managerial Economics and Decision Making

MBA 2436 Managerial Economics and Decision Making

Course code: 
MBA 2436
Department: 
Strategy and Entrepreneurship
Credits: 
4
Course coordinator: 
Yao Zhiyong
Heidi Wiig
Course name in Norwegian: 
Managerial Economics and Decision Making
Product category: 
Executive
Portfolio: 
MBA China
Semester: 
2027 Spring
Active status: 
Active
Level of study: 
Master
Teaching language: 
English
Course type: 
One semester
Introduction

Managerial Economics is one of the core modules for MBA program. The theoretical background of the module is microeconomics, but managerial economics is much more focused on applications of the economic principles in practice and competition in doing business. This module will use a systematic framework from viewpoint of economics to analyse the decision making in doing business and to explain that how the economic principles and its applications are related. Based on the critical concepts in microeconomics, the module will focus on competitive strategies. Towards different industries and different markets, this module will analyse that how to select a better strategy in pricing, product differentiation, and output competition, etc, and to explain the critical factors to reach better performance in business decision making.

Learning outcomes - Knowledge

Upon completion, the student will be able to:

  • Describe the fundamentals of market dynamics and competition.
Learning outcomes - Skills

Upon completion, the student will be able to: 

  • Apply comprehensive economic theory and methodological knowledge.
  • Analyze and solve complex business problems using economic theories.
  • Relate economic theories to enterprise management practices.
General Competence

Upon completion, the student will be able to: 

  • Apply knowledge and skills in solving new academic and professional problems. 
  • Communicate complex analyses clearly in writing.
  • Formulate reasoned arguments for strategic decision-making.
Course content

Day 1:                                                                                                                                                       

  • Introduction
  • Demand Analysis
  • Cost Analysis
  • Supply Analysis
  • Equilibrium Analysis

Day 2:

  • Market Structure
  • Monopoly
  • Pricing Strategy
  • Static Games
  • Dynamic Games

 Day 3:

  • Oligopoly
  • Quantity Competition
  • Price Competition
  • Location Competition  
  • Tacit Collusion                                                                       

Day 4:

  • Adverse Selection
  • Moral Hazard
  • Principle-Agent Problem
  • Organizational Design
  • Market Regulation (Optional)

 

Two of the teaching hours in this course are dedicated to CSR, ethics, social and environmental issues.

Case Study 1: “Cola War” or/and “Platform Competition in China: Alibaba vs. Tencent”

Case Study 2: “Hamilton Real Estate”

Teaching and learning activities

The course is conducted as a teaching module, where students have classes all day for four subsequent days, a total of 32 hours.

Microsoft Office software is required.

Students can use AI to assist them with group projects as well as individual assignments throughout the course. And they shall focus on the quality of their work and make sure there is no AI illusion.

This is a course with two exam components. Candidates may be called in for an oral hearing as a verification/control of written assignments.

Specific information regarding the points system and the mapping scale beyond the information given in the course description will be provided in class. This information may be relevant for requirements for term papers or other hand-ins, and/or where class participation can be one of several elements of the overall evaluation.

The course is a part of a full MBA and examination in all courses in the MBA programme must be passed in order to obtain a certificate for the MBA degree.

In all BI Executive courses and programmes, there is a mutual requirement for the student and the course responsible regarding the involvement of the student's experience in the planning and implementation of courses, modules and programmes. This means that the student has the right and duty to get involved with their own knowledge and practice relevance, through the active sharing of their relevant experience and knowledge.

Software tools
Software defined under the section "Teaching and learning activities".
Qualifications

Granted admission to the BI-Fudan programme. Please consult our student regulations.

Disclaimer
Changes in exam type can be made until the course starts. In addition, unforeseen events or external conditions may call for deviations in teaching and exams.​

Assessments
Assessments
Exam category: 
Submission
Form of assessment: 
Submission PDF
Exam/hand-in semester: 
First Semester
Weight: 
60
Grouping: 
Group (2 - 6)
Duration: 
2 Week(s)
Comment: 
Case study, counts 60% of the total grade
Exam code: 
MBA 24365
Grading scale: 
ECTS
Resit: 
Examination when next scheduled course
Exam category: 
Submission
Form of assessment: 
Submission PDF
Exam/hand-in semester: 
First Semester
Weight: 
40
Grouping: 
Individual
Duration: 
3 Week(s)
Comment: 
Final essay, counts 40% of the total grade
Exam code: 
MBA 24366
Grading scale: 
ECTS
Resit: 
Examination when next scheduled course
Type of Assessment: 
Ordinary examination
All exams must be passed to get a grade in this course.
Total weight: 
100
Student workload
ActivityDurationComment
Teaching
24 Hour(s)
Prepare for teaching
30 Hour(s)
Student's own work with learning resources
56 Hour(s)
Sum workload: 
110

A course of 1 ECTS credit corresponds to a workload of 26-30 hours. Therefore a course of 4 ECTS credit corresponds to a workload of at least 110 hours.

Reading list