This course introduces the application of economic reasoning to the decisions real firms make. By the end of the semester, students will be able to analyze how firms set goals within real-world constraints; understand how market forces (demand, supply, and elasticity) shape pricing and output decisions; evaluate a firm's production and cost structure to determine efficient scale; apply the profit-maximizing rule (MR = MC) and break-even logic to short-run business decisions; compare how different market structures (perfect competition, monopoly, monopolistic competition, and oligopoly) affect firm strategy and pricing; recognize market failures and the role businesses play in addressing them; assess investment decisions using time-value-of-money tools such as NPV and payback period; and translate economic analysis into practical business planning and organizational structure. Throughout the course, emphasis is placed not just on theoretical mastery but also on applied reasoning. Each week, core concepts are paired with case studies, problem sets, or discussions grounded in real or realistic business scenarios. Students learn to think like decision-makers, not just calculate like economists.
Business economics (MANGBAN-BUSECONO-1)
Basic data
Instructors
Course objectives
Course content
Lectures
Foundations ● Week 1: What is Business Economics? The Firm as an Economic Unit ○ Discussion — identifying real firms' goals and constraints. ● Week 2: Demand, Supply, and Market Equilibrium ○ Problem set — shifts in supply/demand and market outcomes ● Week 3: Elasticity and Its Role in Pricing ○ Case study — pricing decisions under different elasticities The Firm's Production & Costs ● Week 4: Production Theory ○ Problem set — production functions and marginal product ● Week 5: Cost Theory ○ Case study — cost structures across firm sizes ● Week 6: Revenue, Profit, and Optimal Output ○ Problem set — MR = MC and break-even analysis Market Structures & Strategy ● Week 7: Perfect Competition and Monopoly ○ Case study — comparing pricing and output outcomes ● Week 8: Monopolistic Competition and Oligopoly ○ Discussion — real-world oligopoly examples and strategy ● Week 9: Market Failures and the Role of Business ○ Case study — a business facing an externality problem Applied Topics ● Week 10: Investment Decisions ○ Problem set — NPV and payback period calculations ● Week 11: Business Planning and Organizational Structure ○ Discussion — structuring a business plan ● Week 12: Midterm test ○ Written Test (administered) ● Week 13: Course Synthesis ○ Semester evaluation
Seminars
Foundations ● Week 1: What is Business Economics? The Firm as an Economic Unit ○ Discussion — identifying real firms' goals and constraints. ● Week 2: Demand, Supply, and Market Equilibrium ○ Problem set — shifts in supply/demand and market outcomes ● Week 3: Elasticity and Its Role in Pricing ○ Case study — pricing decisions under different elasticities The Firm's Production & Costs ● Week 4: Production Theory ○ Problem set — production functions and marginal product ● Week 5: Cost Theory ○ Case study — cost structures across firm sizes ● Week 6: Revenue, Profit, and Optimal Output ○ Problem set — MR = MC and break-even analysis Market Structures & Strategy ● Week 7: Perfect Competition and Monopoly ○ Case study — comparing pricing and output outcomes ● Week 8: Monopolistic Competition and Oligopoly ○ Discussion — real-world oligopoly examples and strategy ● Week 9: Market Failures and the Role of Business ○ Case study — a business facing an externality problem Applied Topics ● Week 10: Investment Decisions ○ Problem set — NPV and payback period calculations ● Week 11: Business Planning and Organizational Structure ○ Discussion — structuring a business plan ● Week 12: Midterm test ○ Written Test (administered) ● Week 13: Course Synthesis ○ Semester evaluation
Acquired competences
Knowledge
Knowledge - Has knowledge of the basic, comprehensive concepts, theories, facts, national economic, and international connections of economics, regarding the relevant economic actors, functions, and processes. - He is aware of the basic principles and methods for the creation of organizations and institutions, their structure, and organizational behavior. - Knows and understands the principles and methods of management, organization and operation of management processes, the methodology of analysis of management processes, the methodological bases of decision preparation, and decision support. - Has basic management and organizational skills, as well as project and small and medium-sized enterprise start-up, start-up, and management knowledge. - Possesses the basic professional vocabulary of economics in his native language and at least one foreign language. Abilities - Plans, organizes economic activities, projects, manages and controls small businesses and economic organizations. - By applying the learned theories and methods, he uncovers, organizes, and analyzes facts and fundamental relationships, formulates independent conclusions and critical comments, prepares decision-preparatory proposals, makes decisions in routine and partially unknown - domestic and international - environments. - Able to determine the complex consequences of economic processes and organizational events. - Able to cooperate with representatives of other fields. - Takes part in projects and group task solutions, and after gaining practical knowledge and experience leads, organizes, evaluates and controls the activities as a leader. - Able to manage a small and medium-sized enterprise or an organizational unit in a business organization after gaining practical knowledge and experience. Attitude -For the sake of quality work, he demonstrates a problem-sensitive and proactive attitude, constructive, cooperative, and initiator in projects and group assignments. - Is open to changes in the broader economic and social environment of the given job, work organization, or enterprise, and strives to follow and understand the changes. - Strives for life-long learning both in the world of work and outside of it. Autonomy and responsibility - Under general professional supervision, independently performs and organizes the tasks specified in the job description. - Assumes responsibility for analyses, conclusions, and decisions. - Independently leads, organizes, and manages an organizational unit, workgroup, enterprise, or smaller economic organization in a business organization, assuming responsibility for the organization and its employees. - Organizes, manages, and controls economic activity in a business organization, in an economic job role according to his qualifications. - As a member of projects, group work, and organizational units, he carries out his assigned tasks independently and responsibly.
Skills
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Attitude
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Autonomy and responsibilities
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Requirements, evaluation and grading
Mid-term study requirements
Tasks for students to be solved by groups: The students must deliver a presentation about their chosen topic. The presentation should include a detailed exploration of the topic and its application in management. Additionally, the students must discuss the presentation, giving valuable feedback and making suggestions for improvement.
Exam requirements
Method of evaluation: Students will be assessed based on two criteria: 1. Written midterm exam - individually 2. Students must deliver concise presentations on pre-assigned topics directly related to the subject matter. These presentations will be evaluated based on content relevance, clarity, depth of research, organization, and delivery skills.
Generative AI usage
Use of GAI tools is fully permitted, provided their use is properly cited and does not compromise achieving the learning outcomes defined in the course description.
Study aids, laboratory background
Recent journal articles from Harvard Business Review, World Economic Forum, UNESCO
Readings
Compulsory readings
1. Mankiw, N. G., & Taylor, M. P. (2020). Economics (5th ed.). Cengage Learning. — UK/EU-adapted edition; also published in some markets as Business Economics variants — check which exact title your library carries. 2. Sloman, J., Garratt, D., & Guest, J. (2018). Economics for Business (7th ed.). Pearson Education.
Recommended readings
4. Brealey, R. A., Myers, S. C., & Allen, F. (2019). Principles of Corporate Finance (13th ed.). McGraw-Hill Education. 5. Besanko, D., & Braeutigam, R. (2019). Microeconomics (6th ed.). Wiley. 6. Barringer, B. R., & Ireland, R. D. (2018). Entrepreneurship: Successfully Launching New Ventures (6th ed.). Pearson.