Institute for Strategy, Technology and Organization (ISTO)

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Management and Economics of Network Industries

Lecture Strategy and Organization in Technology Markets

Prof. Dr. Tobias Kretschmer, Prof. Dr. Giulia Solinas, Maren Mickeler

Course Overview

Many modern technology-intensive industries such as ICTs (Information and Communication Technologies) or consumer electronics are characterized by network effects, which imply that one consumer’s purchasing decision depends on other consumers’ decisions. This has important consequences for firms’ strategies, especially with regard to phenomena such as platform competition, standards battles, and the importance of user expectations.

By learning about network effects and these phenomena, we will try to answer the following questions:

  • How do firms compete in a standards battle?
  • What are strategies to successfully launch an online platform or a video games console?
  • Why do companies such as Google or Facebook give their products away for free?
  • Why do some technologies become dominant, while others remain in their niche status?

At the end of the course students should be familiar with the basic characteristics of network industries, know about the most important concepts and theories, and know how to apply them to real world problems.

Course Structure

The course consists of weekly lectures and tutorials. During the lectures you will learn about the important theoretical concepts using real world examples, basic game theory and empirical methods. During the tutorials you will learn how to apply these concepts to management orientated case studies and how to solve simple game theoretic models yourself.


Organization of the B.Sc. Modules "Technology and Innovation I & III" during the Summer term 2018

The Institute for Strategy, Technology and Organization will offer two courses in the B.Sc. module “Technology and Innovation” during the Summer Term 2019. Those are “Technology and Strategy” (T&I III) and “Management and Economics of Network Industries” (T&I I).



  • The course is taught in English
  • Students can choose one of two identical tutorials
  • First lecture: 10.04.2017, Tuesdays, 14:00 – 16:00 (c.t.), GSP 1, E 004
  • First tutorial: tba
  • You can download the lecture materials on the LSF.
  • You can download the tutorial materials on the LSF.
Lecture Location: Geschwister-Scholl-Platz 1
Tuesdays, 14:00 – 16:00 (c.t.), GSP 1, E 004 (starting 10.04.2017)
  • Group A: Wednesdays, 14:00 – 16:00 (c.t.), GSP 1, A 016

  • Group B: Wednesdays, 16:00 – 18:00 (c.t.), GSP 1, M 110
Please note that it is not required to join both tutorials. Participants are allowed to choose which Group A or B fits their timetable best.
Credits 6 ECTS in module MM&I (PO 08) / Technology and Innovation I (PO 15)
Examination 120 min. closed book exam
Tuesday, 17.07.2018, 16:15 – 18:15, GSP 1, B 101

Further Information

Prof. Dr. Giulia Solinas, Phone: tba,