MIMB6876

Introduction to some parts of microeconomics that are useful for managers with attention to the circumstances that give rise to firm profitability. The first half of the course covers supply and demand, price elasticity, and market equilibrium. The second part of the course covers firms with differentiated products and market power with particular focus on pricing models such as segmentation, bundling, and two part tariffs. Pricing models involve profit maximization and associated conceptual tools. The course touches on game theory and strategic interaction among small numbers of firms and ends with a discussion of market failure and the business opportunities that they sometimes create. The course also emphasizes links to other parts of the core business curriculum. The course makes extensive reference to statistical empirical examples.