Firms and Markets : Strategic Analysis

lbrai2208  2023-2024  Louvain-la-Neuve

Firms and Markets : Strategic Analysis
4.00 crédits
30.0 h
micro-economics and introduction to game theory
Thèmes abordés
Game Theory and econometrics applied to industrial economics
a) horizontal relationships between producers (Bertrand vs Cournot competition, vertical vs horizontal product differenciation,...)
b) vertical relationships between producers : mergers, intermediaries
c) entry and barriers to entry
d) innovation, changes outside the scope of the firm (e.g. environmental changes)
e) the roles of external actors (the State, consumer collective actions,...)

A la fin de cette unité d’enseignement, l’étudiant est capable de :

1 a. Contribution de l’activité au référentiel AA (AA du programme)
1.1-1.5, 2.1-2.5 industrial organisation (theory and empirics)
3.2-3.4, 3.6-3.8 matching real situations with archetypal problems, solving models and interpreting the abstract results
4.1-4.2 identifying typical problems in complex situations
4.4-4.7 drawing lessons from abstract models for complex, real situations
6.1-6.2 & 6.4-6.7 articles presented by students, homeworks (questions)
5.8, 7.1 & 7.5 competition policy-making
b. Formulation spécifique pour cette activité des AA du programme
At the end of the course, students will be able :
- to read, understand and criticize theoretical and empirical articles in industrial organization in an autonomous way.
- to analyze strategic choices made by firms.
- to assess the performance of economic activities at the firm level and at the sector level.
- to decipher the main stakes of market structure and competition policy on the basis of relevant information about the production activities in a given sector.
- to articulate theoretical findings with empirical analyses in industrial organization.
Introductory part, presented by the teacher :
  1. Elements of game theory: normal form games, developped form games, equilibrium concepts.
  2. Cournot versus Bertrand competition.
Students pick up a series of articles that they will read and present themselves in close association with the teacher. The assistance must subsequently raise two relevant questions on each presentation ; these are answered the next week.
The set of articles in which the students choose covers the following topics :
  1. Product differentiation (vertical, horizontal, information asymetries and market failures).
  2. Vertical versus Horizontal integration, contract theory, agency (Principal-Agent relationship).
  3. Potential competition, excess capacity, entry barriers.
  4. Innovation
  5. Sectors with intermediaries
Méthodes d'enseignement
Articles to be read, classes taught in association by students and the teacher, homeworks
Modes d'évaluation
des acquis des étudiants
Homeworks (student talks, critical questions, answers)
en ligne
The list of articles in which students choose is constantly evolving.
Faculté ou entité
en charge

Programmes / formations proposant cette unité d'enseignement (UE)

Intitulé du programme
Master [120] en biochimie et biologie moléculaire et cellulaire

Master [120] en sciences agronomiques et industries du vivant

Master [120] : bioingénieur en sciences agronomiques