English   Danish

2019/2020  KAN-CINTO1016U  Information Economics and Business

English Title
Information Economics and Business

Course information

Language English
Course ECTS 7.5 ECTS
Type Mandatory offered as elective
Level Full Degree Master
Duration One Semester
Start time of the course Spring
Timetable Course schedule will be posted at calendar.cbs.dk
Study board
Study Board for BSc/MSc in Business Administration and Information Systems, MSc
Course coordinator
  • All
    Ioanna Constantiou - Department of Digitalisation
Main academic disciplines
  • Globalisation and international business
  • Economics
Teaching methods
  • Face-to-face teaching
Last updated on 30-03-2020

Relevant links

Learning objectives
  • Explain how economic theories have been applied to the Information Technology (IT) markets, through examples based on business cases or sectoral analysis.
  • Use a set of theoretical tools to analyse prominent phenomena in the markets and industries due to digitalization
  • Use a set of theoretical tools to analyse economic implications from the introduction of innovative IT solutions by firms
  • Identify and reflect upon the strategic implications of the introduction and use of innovative IT solutions for the different market players in the industry.
Information, Economics and Business:
Exam ECTS 7,5
Examination form Home assignment - written product
Individual or group exam Individual exam
Size of written product Max. 10 pages
Assignment type Project
Duration Written product to be submitted on specified date and time.
Grading scale 7-point grading scale
Examiner(s) Internal examiner and second internal examiner
Exam period Spring
Make-up exam/re-exam
Same examination form as the ordinary exam
Course content, structure and pedagogical approach

Economics of information and organization form the core of this course. The course will start by presenting a number of theories from industrial organisation and business economics that are prominent for managing information, efficiently, and for analysing business strategies in the Information Technology (IT) industries. Then, selected issues with wide impact on organizational decision making, firm’s strategy and market analysis will be presented. Indicative examples include pricing of information goods, auction design, the firm as a nexus of contracts, the role of dynamic capabilities in digital environments, and managerial cognition for  strategy making in digital environments.

Taking these topics as points of departure the course will address some fundamental economic issues for the IT industries such as: How do firms compete in different types of Information Technology markets? How do firms exploit their strategic resources in IT environments? How can information use generate the maximum value for the customers in IT markets? How can firms use information to maximise the value from contacts with other firms?  What is the role of big data in managerial cognition? How do business analytics improve strategy making in IT markets?

During the course the students will develop analytical skills and abilities to assess market developments due to digitalization, and thereby, improve their capabilities to engage in individual and group decision making under uncertainty and solve specific business problems. Upon completion of the course the students will be able to develop and present concrete solutions to market problems and advise firms about how to deal with information technology challenges and opportunities.

Description of the teaching methods
The course will be conducted in sessions of three time-slots (3x45). Each session is strongly based on students’ participation. Following the introduction, each session includes lectures presenting specific theoretical issues, practical examples to further the understanding of the theory as well as students’ participation in the discussions about specific business cases.
Feedback during the teaching period
Students will get feedback in class in relation to their contributions to discussions of cases and principles.
Student workload
Lectures 30 hours
Prepare for the class - reading the literature 140 hours
Prepare for the class discussions and the mini-cases 10 hours
Exam and preparation for the Exam 26 hours
Total 206 hours
Expected literature

The literature can be changed before the semester starts. Students are advised to find the literature on Canvas before they buy the books.

Clemons  (2009) “Business Models for Monetizing Internet Applications and Web Sites: Experience, Theory, and Predictions” Journal of Management Information Systems, 26(2) 15-41.
Dushnitsky and Klueter (2011) “Is There an eBay for Ideas? Insights from Online Knowledge Marketplaces” European Management Review, 8, 17–32.
Gallaugher and Wang. (2002) “Understanding network effects in software markets: Evidence from web server pricing” MIS Quart, 26(4) 303–327.
Rindova and Kotha (2001) “Continuous “Morphing”: Competing Through Dynamic Capabilities, Form, and Function” Academy of Management Journal, 44(6) 1263-1280.
Rysman (2009) “The Economics of Two-Sided Markets” Journal of Economic Perspectives, 23(3) 125-143.
Susarla, Barua, and Whinston  (2009) “A Transaction Cost Perspective of the “Software as a Service” Business Model” Journal of Management Information Systems, 26 (2) 205-240.

Last updated on 30-03-2020