The course presents the economics of information and communication. It is about the implication of digitization technology on industry, organizational structure, and business strategy. Pricing strategies, bundling, and versioning of digital goods are examined. The course considers the managerial implications of social networks, search, targeted advertising, personalization,, network externalities.
Mainly Lecture notes made available during classes. In addition students will find helpful material in:
- Varian, H., Farrell, J., Shapiro, The Economics of Information Technology: An Introduction, Cambridge University Press;
- Shapiro, C., Varian, H., Information Rules: A Strategic Guide to the Network Economy; Harvard Business.
Learning Objectives
The course aims at making students acquainted with the economics of information and communication. The technicalities will be kept to a bare minimum and brought back when needed. The course is therefore self contained.
Prerequisites
The course is set to be accessible to all students even to those with just a bare economic background
Teaching Methods
Mainly front line lectures (70%), case studies (30%).
Further information
.
Type of Assessment
Those regularly attending lectures can take the final examination in the form of an essay on a topic previously agrred with the teacher.
Those not attending lectures will have to sit for a vival. They can request Lecture notes from the theacher by e-mail.
Course program
Technology and market structure; Intellectual Property; The internet Boom; Differentiation of product an Prices;
Switching cost and lock-in; Supply side economies of scale; Demand side economies of scale; Standards; Computer mediated transaction.
Intellectual property, competition and information technology: Patents, trade secrets and copyrights; Differentiation of products and prices; Switching costs and lock-in; Standards and patents
Pricing information; Versioning information; Managing Lock-in; Network and positive feed-back; Cooperation and Compatibility; Regulation