Managerial Economics and Decision Making

Introduction

Managerial Economics is one of the core modules for MBA program. The theoretical background of the module is microeconomics, but managerial economics is much more focused on applications of the economic principles in practice and competition in doing business. This module will use a systematic framework from viewpoint of economics to analyze the decision making in doing business and to explain that how the economic principles and its applications are related. Based on the critical concepts in microeconomics, the module will focus on competitive strategies. Towards different industries and different markets, this module will analyze that how to select a better strategy in pricing, product differentiation, and output competition, etc, and to explain the critical factors to reach better performance in business decision making.

Course content

Day 1:                                                                                                                                                        

• What is managerial economics?                                                                                         
• Economic Environment for Decision makers (Macro-and- intermediate layers)
• Digital Economy

Day 2: 

• Game Theory
• Making decisions with uncertainty                                                                                                                                 

Day 3: 

• Firms decision making             
• Production                         
• Pricing    
•                                                                                   

Day 4:

• Market Regulation
• Behavioral econoimcs 

2 of the teaching hours in this course are dedicated to CSR, ethics, social and environmental issues.

Group Case Study 1:  Uber vs. Didi: The Race for China’s Ride-hailing Market (2017)
Group Case Study 2:  Airbus vs. Boeing (A-F)