Description

This new third edition continues to highlight the strong link between the theory and analysis of industrial economics using engaging case studies. It has extended its journey through the historical development of industrial organization to the present day with new case studies on industries relevant to the 21st Century. For example,  IT and telecommunications (Microsoft, eBay, 3G mobile phones technology, LCD TV screens, internet broadband), open source; banking and financial services (commercial banking, the credit union movement); and sport and leisure (Hollywood movies, English Premier League football).

 

Features

• The style of presentation is non-technical throughout. No knowledge of calculus is required and no knowledge of statistics or econometrics is assumed.
• Clear and comprehensive coverage of all major theoretical and empirical topics in industrial economics prepares students to better apply relevant economic theory.
• A wealth of up-to-date case study material referring to leading British, European and US companies enables a real-world understanding of the subject.
• Extensive coverage of empirical research related to market structure, strategy and firm performance provides an invaluable springboard for readers wishing to pursue the subject at a higher level.
• Written from a European perspective, focusing wherever possible on European Business and Industry.
• For those readers requiring a more rigorous treatment of certain topics, a Mathematical Methods appendix provides formal derivations (using calculus) of a selection of the most important theories and results presented in the main text.
• There is also a primer in the fundamentals of regression analysis in an Econometric Methods appendix providing a brief and non-technical introduction to some of the basic tools, such as regression coefficients, t-statistics and goodness-of-fit.

Supplements:

Student - Companion website featuring an online glossary of key terms and links to relevant websites

Instructor - PowerPoints and solutions manual

 

New to this Edition

• Reorganisation of Part I resulting in the number of chapter increasing from three to five.
• New chapter 17 on Mergers and Strategic Alliances.
• Chapters 18 and 19 now provide a separate and more detailed treatment of vertical integration and restraints.
• Revised and updated coverage of many theoretical and empirical topics in industrial organization throughout the book. For example, a new section covering price dispersion in chapter 12 and a new section evaluating competition policy in chapter 21.
• Improved technical presentation of many of the theories of industrial organization, by grounding coverage more explicitly within a microeconomic theoretic framework.
• Fully updated the popular extensive bibliography.
• Significantly increased the number of end-of-chapter discussion questions
• Replaced many case studies with new ones focusing on events post 2001 and publication of the 1st edition.

Table of Contents

Contents

 

Preface

Acknowledgements     

 

Part I:   Theoretical Foundations

 

1          Industrial organization: an introduction  

2          Production, Costs and Demand

3          Perfect Competition, Monopolistic Competition and Monopoly

4          Managerial Theories of the Firm

5          Transaction costs, agency and resource-based theories of the firm

           

Part II:  Structural Analysis of Industry

 

6          Oligopoly: non-collusive models           

7          Oligopoly: collusive models      

8          Concentration: measurement and trends

9          Determinants of seller concentration     

10        Barriers to entry

11        Market structure, firm strategy and performance           

 

Part III:            Analysis of Firm Strategy

 

12        Pricing 

13        Auctions          

14        Product differentiation

15        Advertising      

16        Research and development      

17        Mergers and strategic alliances

18        Vertical integration       

19        Vertical restraints

20        Diversification  

 

Part IV:            Analysis of Public Policy

 

21        Competition policy       

22        Regulation       

           

Appendices: Analytical Tools

Appendix 1      Mathematical methods 

Appendix 2      Econometric methods  

Glossary          

References      

Index   

Back Cover

Rooted firmly in the real world, Industrial Organisation: Competition, Strategy, Policy provides a comprehensive and coherent overview of the subject.

Its trademark case-based and example-driven approach continues with verve in this new third edition. Case studies from banking, media, movies, consumer electronics, pharmaceuticals, professional sports, and information and communication technologies reinforce the text’s strong analysis of the economics of business and industry from a European perspective.

New to this edition: 

·        Re-organization of Part  I of the book to include new chapters on managerial and behavioural theories of the firm, and transaction costs, agency and resource-based theories of the firm.

·        New chapter on mergers and strategic alliances.

·        Extended coverage of vertical integration and vertical restraints in two chapters.

·        Revised and updated coverage of many theoretical and empirical topics, including new sections on price dispersion and competition policy. 

·        Further additions and updates to an already extensive and popular bibliography.

·        New case studies, many of which focus on current issues and controversies:

o       Price discrimination by cinemas

o       Online auctions

o       Vertical restraints in pay-TV

o       Predatory pricing of internet services

o       Bid rigging in the construction industry

o       Ticket prices for Premiership football

o       Fees for audit services

o       Innovation in consumer electronics

o       Cross-border bank mergers in Europe

o       Regulating the utilities

 

Visit www.pearsoned.co.uk/lipczynski to find valuable online resources for both students and lecturers, including an online glossary of key terms, links to relevant websites, additional practice questions, an intrsuctor’s manual and full set of power point slides.    

Dr John Lipczynski is an Academic Leader at the London Metropolitan Business School, specializing in microeconomics and industrial economics.

Professor John O.S. Wilson is in the School of Management at the University of St Andrews, specializing in industrial organization and banking.

Professor John Goddard is in Bangor Business School at Bangor University, specializing in financial economics, industrial economics and the economics of professional sports.

“My students have been happy with this text…an admirable book” David Paton, Nottingham University

‘An excellent reference and starting point for further reading’ Simon Vicary University of Newcastle

‘The key strengths of the book are that it is well written and takes a business approach discussing different theories presented in the context of the business world, without using a formalistic mathematical approach. This business approach appeals greatly to our business students ‘ Erik Madsen Denmark  SB University Denmark

Author

Dr John Lipczynski is a Principle lecturer in the Department of Business and Service Sector Management in London Metropolitan University Specialising in Microeconomics and industrial economics

Professor John Wilson is in the school of management at the University of St. Andrews, speculating in industrial organization and banking

Professor John Goddard is in the School of Business and Regional Development at the University of Wales, Bangor, specializing in financial economics, industrial economics and the economics of professional sports