Competition, Strategy, and Institutions - Interactive curriculae of TU Ilmenau

Group Work: Written Case Study and presentation of the results.

Dieses Modul enthält mindestens eine alternative semesterbegleitende Abschlussleistung. Bitte beachten Sie, dass diese in der Regel schon zu Beginn des Semesters, in dem diese angeboten wird, angemeldet werden muss.
Über die Details und Zeiträume dazu werden Sie vom Lehrenden und/oder dem Prüfungsamt informiert. Fragen Sie gegebenenfalls unbedingt beim Lehrenden nach.

This module contains at least one alternative exam part. Please note that this must usually be registered at the beginning of the semester in which it is offered.
The lecturer and/or the examination office will inform you about the details and time periods. If necessary, be sure to ask the lecturer.

Microeconomics

Strategic business behavior on competitive markets lies at the heart of any market economic system. Upon successful completion of the learning process of this course, students are able to:
. recognize competitive interaction in realistic market environments (oligopolies; presence of competition rules and regulatory institutional frameworks);
. present and explain principles and concepts of the modern, state-of-the-art economics of competition, strategy, and institutions;
. develop pro and con lines of reasoning to create a scientific analysis of specific purpose-designed and real-world cases;
. assess theoretical and empirical problems in competition, strategy, and institutions on a high academic level;
. provide a scientific analysis of competition, strategy and institutions by applying advanced theories, concepts, tools and methods to a purpose-designed case and derive expert-level conclusions.
For instance, successful students independently apply state-of-the-art scientific knowledge for analyzing the pros and cons of different business strategies from a social perspective and a perspective of strategic business behaviour in complex (interactive) market environments.
The learning process includes lectures dominated by interactive elements, and individual and group tasks. Students are actively involved into discussion of taught topics. During work in groups on case studies, students apply their knowledge to find assessment standards for specific purpose-designed and real-world cases, design a strategy for presentation of outcomes and discuss them with classmates.

Inhalt:

1. Introduction

2. The Economic Theory of Competition, Strategy, and Institutions

3. Unilateral Strategies with Strategic Interdependency

3.1 Predatory Pricing Strategies

3.2 Advertising and Brands

3.3 Bundling & Tying, Exclusive Dealing and Boycotts

3.4 Raising Rivals’ Costs

3.5 Unilateral Strategies – European Competition Policy

4. Cartels, Cooperation, Alliances and Networks

4.1 Types and Effects of Enterprise Cooperation

4.2 The Problem of Stability

4.3 Detection of Cartels

4.4 Cartels – European Competition Policy Framework

5. Mergers and Acquisitions

5.1 General Notes

5.2 Analyzing Mergers – European Competition Policy

6. The Global Dimension

6.1 Market Concentration Worldwide

6.2 International Antitrust Institutions

7. Public Interest Considerations in Competition Policy

7.1 Defining and Understanding Public Interest Considerations

7.2 Public Interest Considerations – German and European Competition Policy

Work in groups; Case Studies; Project Work; Exercises; Presentation using digital tools.

Lecture slides and accompanying material are available via Moodle.

 . Bishop, S. & Walker, M., The Economics of EC Competition Law, the newest edition, London: Sweet & Maxwell.
. Motta, M., Competition Policy: Theory and Practice, the newest edition, Cambridge: Cambridge University Press.
. Kerber, W. & Schwalbe, U., Economic Principles of Competition Law, in: F. J. Säcker et al. (eds), Competition Law: European Community Practice and Procedure, London: Sweet & Maxwell 2008, pp. 202-393.
. Schwalbe, U. & Zimmer, D., Law and Economics in European Merger Control, the newest edition, Oxford: Oxford University Press.
. Bagwell, K., The Economic Analysis of Advertising, in: Handbook of Industrial Organization, Vol. 3, Amsterdam: Elsevier 2007, 1703-1844.
. Budzinski, O., Impact Evaluation of Merger Control Decisions, in: European Competition Journal 9 (1), 2013, 199-224.
. Budzinski, O., International Antitrust Institutions, in: R.D. Blair & D.D. Sokol (eds.), The Oxford Handbook of International Antitrust Economics, Vol. 1, Oxford: OUP 2015, 119-146.
. Choi, J.P. & Gerlach, H., Cartels and Collusion: Economic Theory and Experimental Economics, in: R.D. Blair & D.D. Sokol (eds.), The Oxford Handbook of International Antitrust Economics, Vol. 2, Oxford: OUP 2015, 415-441.
. Levenstein, M.C. & Suslow, V.Y., Cartels and Collusion: Empirical Evidence, in: R.D. Blair & D.D. Sokol (eds.), The Oxford Handbook of International Antitrust Economics, Vol. 2, Oxford: OUP 2015, 442-463.
. Elzinga, K.G. & Mills, D.E., Predatory Pricing, in: R.D. Blair & D.D. Sokol (eds.), The Oxford Handbook of International Antitrust Economics, Vol. 2, Oxford: OUP 2015, 40-61.
. Jayaratne, J. & Ordover, J., Coordinated Effects, in: R.D. Blair & D.D. Sokol (eds.), The Oxford Handbook of International Antitrust Economics, Vol. 1, Oxford: OUP 2015, 509-528.
. Keating, B. & Willig, R.D., Unilateral Effects, in: R.D. Blair & D.D. Sokol (eds.), The Oxford Handbook of International Antitrust Economics, Vol. 1, Oxford: OUP 2015, 466-508.
. Salinger, M.A., Vertical Mergers, in: R.D. Blair & D.D. Sokol (eds.), The Oxford Handbook of International Antitrust Economics, Vol. 1, Oxford: OUP 2015, 551-586.
. Salop, S.C. & Scheffman, D.T., Raising Rivals' Costs, in: The American Economic Review 73 (2), 1983, 267-271.
. Scheffman, D.T. & Higgins, R.S., Twenty Years of Raising Rivals' Costs: History, Assessment, and Future, in: George Mason Law Review 12 (2), 2013, 371-387.
. Tirole, J., The Analysis of Tying Cases: A Primer, in: Competition Policy International 1 (1), 2005, 1-25.
. White, L.J., Monopoly and Dominant Firms: Antitrust Economics and Policy Approaches, in: R.D. Blair & D.D. Sokol (eds.), The Oxford Handbook of International Antitrust Economics, Vol. 1, Oxford: OUP 2015, 313-344