316-210 Competition and Strategy

316-102 Introductory Microeconomics.

The subject introduces students to the rapidly growing literature in economics and business on strategic interaction with an emphasis on applications to business and public policy. Topics covered include game theory; decision making under uncertainty; the prisoners' dilemma; dynamic strategy and strategic positioning; credible commitments and deterring competitors; cooperation and coordination; brinkmanship and industry shakeouts; strategic negotiation; horizontal and vertical integration; tacit collusion; sustaining collusion and collusive devices; uncertainty; and reputation as a competitive advantage. The subject will emphasise applications.

• High level of development: written communication; problem solving; application of theory to practice; interpretation and analysis; critical thinking; synthesis of data and other information; evaluation of data and other information; receptiveness to alternative ideas.

• Moderate level of development: oral communication; collaborative learning; team work; accessing data and other information from a range of sources.

• Some level of development: statistical reasoning; use of computer software; accessing data and other information from a range of sources.

A 2-hour end-of-semester examination (60%), a mid-semester test (10%) and assignments totalling not more than 3000 words (30%).