Course content
The economics of information and organization in relation to digitalization (e.g., introduction of machine learning, datafication) form the core of this course. The course starts by buildings on theories from industrial economics and strategy that are prominent for managing information efficiently, and for analyzing business strategies in digital environments. Then, selected issues with wide impact on the economic environment, such as market dynamics, boundaries of the firm, interfirm relations and will be analyzed. Indicative examples include the pricing of information goods, auction design, market design, the firm as a nexus of contracts, , and managerial cognition for strategy-making in digital environments.
Taking these topics as points of departure, the course will address the how digitalization challenges fundamental economic assumptions in the economic environment. This raises questions such as: How do firms compete using different digital technologies? How do digital marketplaces differ in relation to traditional markets? How do firms exploit their strategic resources in digital environments? How can information be used to generate the maximum value for the customers in digital marketplaces? How can firms use information to maximize the value from contracts with other firms? What is the role of datafication in managerial cognition? How do business analytics improve strategy-making?
During the course, the students will develop analytical skills and abilities to assess industry and market developments due to digitalization, to improve their capabilities to engage in individual and group decision-making under uncertainty, and to solve specific economic problems. Upon completion of the course, the students will be able to develop and present concrete solutions to industry and market problems and advise firms about how to deal with digitalization challenges and opportunities.
See course description in course catalogue