Industrial Organization
Objectives
The skills acquired are threefold. Firstly, this course enables students to acquire and apply the concepts of non-cooperative game theory, essential for analyzing and understanding imperfect competition. Secondly, this course provides an understanding of the strategic positioning of firms (pricing, service quality, product choice, etc.). This enables us to understand a micro-economy that is closer to decision-makers. Understanding the mechanisms involved, and the language used, are now indispensable in consulting firms and among business economists. Finally, this course provides an analysis of corporate mergers from the point of view of social welfare, and a study of competition policy. It also provides all the tools needed by professionals responsible for competition policy, particularly those working in government agencies (competition authorities, DGCCRF, European Commission, etc.).
Course outline
The industrial economics course aims to provide a microeconomic analysis of imperfect competition situations (monopoly, oligopoly in price, quantity, etc.), as well as a discriminating monopoly situation from the point of view of social well-being. It also aims to show how price-competitive firms can overcome Bertrand’s paradox by differentiating their products. Finally, it seeks to analyze vertical relationships between firms, merger studies and competition policy.
Prerequisites
Microeconomics