44763 - Teory of the Firm

Learning outcomes

At the end of the course, the student knows: - the relationship between business and market from Coase to Williamson; - the Structure-Conduct-Performance (SCP) approach and managerial criticisms and theories; - the firm as a market agent in the presence of incomplete internal contracts and information asymmetry: the contribution of Alchian-Demsetz and Grossman-Hart-Moore; - the relationship between business and technology: from the neoclassical approach to technological diffusion to the neo-Schumpeterian and evolutionary one; - the relationship between business and knowledge: the hypothesis of cognitive capitalism, learning and network economies; - technological dynamics and financial constraints.

Course contents

1. Introduction to the course. 2. The nature of the company according to Coase and the relationship with the market 3. The Structure-Conduct-Performance Approach (SCP) 4. The managerial business theories: Baumol, Williamson and Marris. 5. The firm as market agent in the presence of incomplete internal contracts: Alchian-Demsetz and Grossman-Hart-Moore 6. The firm as a complex organization: Williamson's approach and transaction cost theory 7. An introduction to the neo-Schumpeterian approach to business 8. The evolutionary business theory: the cognitive theory of H. Simon 9. Evolutionary business theory and the Nelson-Winter model 10. Economic-civil theory of the enterprise 11. Mid-term evaluation 12. Service design applied to case studies (1) [team work] 13. Service design applied to case studies (2) [team work] 14. Theory of Change applied to case studies (1) [team work] 15. Theory of Change applied to case studies (2) [team work] 16. Theory of Change applied to case studies (3) [team work] 17. Discussion 18. Discussion

Readings/Bibliography

Del Bono, Zamagni: “Microeconomia”, Il Mulino, Bologna, 1999

Some in-depth papers will be indicated to attending lectures

Teaching methods

Lectures

Assessment methods

Attending students will have access to an intermediate test which will consist of 10 multiple choice questions, 2 open and short answer questions, 1 open question. The weight of the test will be 50% on the final evaluation. Will be evaluated: - Class participation and collaboration (10%) - Quality of team work (research, organization, exhibition) (30%) - Peer evaluation (10%)

Non-attending students will carry out a written test, which follows the modality of qualla for attending students, on the whole course program, during official exams

Teaching tools

Slides, short movies

Office hours

See the website of Sabrina Pedrini