45070 - Corporate and Innovation Economics

Learning outcomes

The student will know in detail the various issues that arise from the processes of planning, management, organization and execution of business strategies. Furthermore, he will be able to demonstrate adequate knowledge of the economic and institutional mechanisms at the basis of the firm existence, and to identify, even when faced with actual cases, the main factors that lead to the choice of certain organizational structures, strategies and management decisions. On these issues he will also capable of carry out, in an autonomous way, a research work using different statistical and bibliographic sources.

Course contents

he course is divided into three parts.

In the first, after a brief review of modern theories of the firm, attention will focus on the functions of corporate strategy, and on the different approaches that guide the company in the formulation of strategies and in the design of organizational structures (including multinationals) looking for a competitive advantage. The sector-based approach will be compared with the one based on resources and competencies, deepening the role of technology and innovation management. In a comparable manner, the course will also analyzed the implications of the two approaches for the strategies of vertical integration of the firm.

The second part will be devoted to the analysis of the nature and sources of firm's competitive advantage and profitability. Cost strategies will be compared with differentiation ones, deepening with regard to the latter the techniques for evaluating the role of demand.

The third part will focus on the evolution of strategic decisions along the different stages of the life cycle of an industry. B usiness strategies will be distinguished for innovative sectors and mature sectors, and with reference to the strategies of the group.

Detailed course program

Part I
Business and Strategy
- Definition, functions and evaluation of business strategy
- Business strategies and group strategies
- Organizational structures and strategic direction
- Strategic analysis of the sector and analysis based on resources and competencies

Part II
Profitability and competitive advantage
- Nature and sources of competitive advantage
- Cost advantage
- Advantage of differentiation

Part III
Strategies and competitive environments
- Business strategies and sector development
- Technology and innovation Management
- Group strategies and diversification: an outline
 

Readings/Bibliography

- Grant, R.M. L'Analisi Strategica per le Decisioni Aziendali, Il Mulino, Bologna. In particular, but not exclusively, the following chapters: I, II, III, IV, V, VI, VII, VIII, IX, X, XI, XII, XIII, XIV and XV);

- Nicita, A. e Scoppa, V. (2005), Economia dei contratti, Carocci, Roma, Chapters I-II-III

Teaching methods

Lectures, group discussions and exercises in the classroom.

Assessment methods

The exam will verify the achievement of the following learning objectives:

• in-depth knowledge of the major approaches to strategic analysis and of their links with the economic theories of the firm presented during the lectures;

• ability to use these theories to interpret relevant firm-specific and business phenomena subject to empirical observation.

• ability to develop strategic recommendations.

The examination is written and provides an assessment out of a 30 basis. In addition to responding to some questions which refer to approaches presented in class (in common parlance "theoretical questions"), students will have to answer empirical questions in which they demonstrate that they can apply the tools acquired for the purposes of interpretation and forecasting.

Attending students have the opportunity to take part of the exam by presenting a case study at the end of the course.

 In order to take the exam students should register electronically, in compliance with mandatory deadlines. Those who do not succeed to enroll by the due date, are required to report promptly (and in any event before the official closing of the subscription lists) the problem to the Secretary's office. The professor shall have the right to admit to the examinations the late subscriber.

- The registration of the outcome of the examination takes place after the oral examination in the manner prescribed in the appropriate site. Graduating students who pass the exam and need to verbalize the vote in advance of the scheduled date, are invited to notify the teacher by means of an e-mail message to be sent immediately after passing the test.

Teaching tools

- Power Point presentations elaborated by the professor and supplementary readings available on the site http://campus.unibo.it/.
- Discussions and exercises (for example, feed-back test) conducted in the classroom aimed at understanding and integration of the teaching material.
The exercises will be conducted both by the professor and the tutor, usually at the end of each point in the program.

Office hours

See the website of Giulio Pedrini