Foundations of Strategy

Study Board of Business Economics

Teaching language: English
EKA: B150199112, B150199102
Censorship: Second examiner: None
Grading: Pass/Fail, 7-point grading scale
Offered in: Odense
Offered in: Autumn
Level: Master

Course ID: B150199101
ECTS value: 10

Date of Approval: 21-03-2022


Duration: 1 semester

Course ID

B150199101

Course Title

Foundations of Strategy

Teaching language

English

ECTS value

10

Responsible study board

Study Board of Business Economics

Date of Approval

21-03-2022

Course Responsible

Name Email Department
Michael Christensen chm@sam.sdu.dk Institut for Marketing & Management, Strategisk Organisationsdesign

Offered in

Odense

Level

Master

Offered in

Autumn

Duration

1 semester

Recommended prerequisites

Basic knowledge about theories in economics and organizational behavior. 

Aim and purpose

Foundations of strategy is a core course in the Strategy and Organization master. It presents the theories that comprise state-of-the-art in strategy research. This level of knowledge, as well as the ability to engage directly with research literature, provides a foundation for the further courses in the strategy and organizations profiles. 

The aim of this course is to: 

  • provide a comprehensive understanding of standard approaches to analyze competitive advantage at the firm, industry and network levels 
  • give the students skills in using the principles laid out in this course to examine and solve strategic problems for a master thesis and in a managerial career. 
  • improve the students' abilities to read, assimilate, argue, and put to use texts from the research literature.

Content

Issues relating to strategic decisions and market processes are an integral part of these topics. The most influential recent contributions to theories about strategy are presented, including theories of industrial organization and technological change, competence- and resource-based theory, transaction cost and property rights economics as well as relational approaches.  

This course is centered on three main topics: 

  • Industry and context analysis: Market Power and Dominant Firms; Market Power and Product Quality; Strategic Behavior with Applications (advertising, R&D, learning); Conducting an analysis of markets, industries and strategic groups. 
  • Analysis of the firm: The Resource Based View; rent analysis; bargaining; dynamic capabilities. 
  • The Structure and Boundaries of the firm: Transaction Costs and Property Rights; Relational rents; Diversification and Integration; Identifying sources of competitive advantage; Analysis of markets and asset stocks. 

Learning goals

The aim is that students, by participation in this course, can: 

Description of outcome - Knowledge

• Explain the theories that represent state-of-the-art in strategy research.   
• Explain how these theories relate to each other.  
• Explain the conditions under which each theory can be applied and what can be gained from such application.

Description of outcome - Skills

• Evaluate and use the theories that represent state-of-the-art in strategy research.   
• Conduct an informed, insightful, and well-structured strategic analysis of firms and industries.   
• Analyze strategic problems relating to ownership, including the boundaries and structure of the firm.   

Description of outcome - Competences

• Read and relate articles from the state-of-the-art strategy research literature.  
• Do proper analysis of problems in firms or institutions related to strategy.   
• Communicate and argue for solutions to strategic problems.    
• Use the principles laid out in this course to examine and solve strategic problems for a master thesis.  

Literature

The classroom activities draw on a mix of journal articles and selected book chapters. A potential textbook could be “Industrial Organization,” J. Church & R. Ware (Boston, 2000). A background textbook, along the lines of “Economics of Strategy,” D. Besanko et al (Hoboken , 2013, will be used to help framing and relating the research articles, which includes central pieces on Transaction Cost Economics, Resource-Based View, and Industrial Organization. The reading is roughly 1400 pages, and the reading list is announced at the beginning of the semester.

Teaching Method

Lectures, student exercises, and class discussions in English. The learning activities support the students in achieving the aim of the course through readings and reading exercises, lectures, group work, e-learning activities, illustrative empirical materials and cases, and classroom games. To ensure proper learning outcomes, the students must prepare for class and be motivated to participate actively in the teaching activities. Preparation includes reading, summarizing/exercises, and reflection. 

Workload

Scheduled classes:

3 hours weekly in 15 weeks.

Workload:
These activities result in an estimated distribution of the work effort of an average student as follows:

  • Lectures: 45 hours.
  • Preparation for class, reading: 185 hours.
  • Mandatory assignment: 15 hours.
  • Exam, including preparation: 25 hours.
  • In total: 270 hours. 

Examination regulations

Exam

Name

Exam

Timing

Exam:
Home assignment: November
In situ exam: January.

Reexam:
Home assignment November/december
In situ exam: February.

Tests

Home assignment

Name

Home assignment

Form of examination

Home assignment

Censorship

Second examiner: None

Grading

Pass/Fail

Identification

Student Identification Card - Exam number

Language

English

Duration

1 week

Length

Maximum 2 standard pages (of 2400 keystrokes including spaces)

Examination aids

All exam aids allowed. It is not allowed to communicate with others.

Assignment handover

   Digital hand-out via "Digital Exam".

Assignment handin

   Digital hand in via "Digital Exam".

ECTS value

1

Additional information

The assignment is a review of one or a few of the research articles from the syllabus, focusing on contribution and implications.


EKA

B150199112

Written exam

Name

Written exam

Form of examination

Written in situ exam

Censorship

Second examiner: None

Grading

7-point grading scale

Identification

Student Identification Card - Exam number

Language

English

Duration

3 hours written exam.

Length

Maximum 6 standard pages (of 2400 keystrokes including spaces).

Examination aids

All exam aids allowed.
It is not allowed to communicate with others.

Assignment handover

Digital hand-out via "Digital Exam".

Assignment handin

Digital submission via "Digital Exam".

ECTS value

9

Additional information

The examination is based on 2-5 broad questions that invite independent thinking and use of the material taught in this course. 

EKA

B150199102

External comment

NOTE - This course is identical with the former course  B150033101 Foundations of Strategy.
Used examination attempts in the former identical course will be transferred.
Courses that are identical with former courses that are passed according to applied rules cannot be retaken.


Courses offered

Period Offer type Profile Programme Semester

Teachers

Name Email Department City
Franziska Lauenstein fsu@sam.sdu.dk Strategic Organization Design (SOD) Odense
Michael Christensen chm@sam.sdu.dk Institut for Marketing & Management, Strategisk Organisationsdesign Odense
Torben Thorbjørn Knudsen tok@sam.sdu.dk Institut for Marketing & Management, Strategisk Organisationsdesign, Danish Institute for Advanced Study Odense

URL for MySchedule

48
Monday
28-11-2022
Tuesday
29-11-2022
Wednesday
30-11-2022
Thursday
01-12-2022
Friday
02-12-2022
08 - 09
Class 1
Undervisning
Foundations of Strategy
09 - 10
Class 1
Undervisning
Foundations of Strategy
10 - 11
Class 1
Undervisning
Foundations of Strategy
11 - 12
12 - 13
13 - 14
14 - 15
15 - 16
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