Strategy
Code
1207
Academic unit
null
Department
null
Credits
7,5
Teacher in charge
Afonso Almeida Costa
Teaching language
English
Objectives
Why are some firms more successful than others? The objective of this course is to answer this important (and complex) question. To do so, we will seek to identify the main factors driving persistent firm performance differences, by using a diverse set of analytical tools and concepts. We will focus on important factors such as market size, industry structure, and competition; the ways in which firms can build a competitive advantage by creating more value than their competitors; how firms can sustain a competitive advantage over time; the role of corporate strategy and the definition of firm boundaries; and the importance of aligning structure and systems, and culture and values for successful strategy execution.
The essence of strategy analysis is the skilful application of tools and concepts to specific business situations. Learning the tools and concepts introduced in the theoretical sessions and practicing their application is thus critical and constitutes the basis of this course.
Prerequisites
Compulsory pre-requisites:
- 1102. Microeconomics
- 1200. Principles of Management
Subject matter
0. Introduction.
1. Competitive strategy:
1.1. Microeconomic models of strategic interaction: Capacity and price competition; Competitive Dynamics.
1.2. Market size, industry structure, and competition.
1.3. Creating and sustaining competitive advantage: Value creation and competitive advantage; Strategies for building competitive advantage; Value innovation through Blue Ocean Strategy; Sustainability of competitive advantage: Mechanisms; Competing in the new economy: Creating and sustaining competitive advantage with network externalities.
2. Corporate strategy: Firm scope; To grow or not to grow? How to grow?; Vertical integration.
3. Strategy execution: Alignment: Structure and systems, culture and values.
4. Strategy in action: Special session: "Case presentation by The Boston Consulting Group".
5. Review
Bibliography
Besanko, David, David Dranove, Scott Schaefer e Mark Shanley, 2013, The Economics of Strategy, sixth edition, New York: John Wiley and Sons.
Teaching method
Evaluation method
The Final Exam is mandatory and must cover all subjects. The weight of the final exam should be between 30 and 70%. The remaining weight may include participation in classes, intermediate tests, and / or other tests. In total, the evaluation carried out in the classroom (final exam, intermediate test) must have a weight of at least 50%.
The evaluation is based on the final exam (40%) and components of continuous assessment during the semester. These components are the intermediate test (20%), written composition (20%) and presentation (15%) of the case analysis, and individual participation of students in the discussions during the sessions (5%). IMPORTANT NOTE: Students must have a mark of at least 9.5 (out of 20) on the final exam to pass the chair. IMPORTANT NOTE 2: The weighting of the final mark presented above will be applied to the first final exam done, either during the normal season or during the appeal period. However, students wishing to withdraw the normal period examination to take the 100 percent weighting examination time may send an email to the assistant chairperson mentioning this until 30 May. IMPORTANT NOTE 3: Plagiarism is considered a very serious offense by the school. In accordance with this principle, any instance of plagiarism detected - whether in the intermediate test or the final exams, or in the written compositions and presentations of the case analyzes - will be punished severely.
Weighting of continuous evaluation elements: Intermediate test (20%); Written composition (20%) and presentation (15%) of the case analysis; Individual participation of the students in the discussions during the sessions (5%).
Weighting of final exam: 40%.
Weighting of the elements of continuous evaluation if the exam does not count 100%: Same weight as in the normal time.
Weighting of final exam: 40% or 100%.
Weighting of continuous evaluation elements: 0%.
Weighting of final exam: 100%.
Weighting of continuous evaluation elements: 0%.
Weighting of final exam: 100%.