Industrial Organization: Markets and Strategies Paperback – 7 Jan 2010
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'This is a crisply written account of modern Industrial Organization which should be a major reference for years to come. I particularly enjoyed the 'Lessons' which summarize and keep the reader on-track with the economic insights from the models presented. Congratulations to the authors for this magnum opus.' Simon P. Anderson, Commonwealth Professor of Economics, University of Virginia
'The depth and coverage of topics in Industrial Organization: Markets and Strategies is staggering. Professors Belleflamme and Peitz have produced a real gem. Innovative, timely, and thorough.' Michael Baye, Bert Elwert Professor of Business Economics, Kelley School of Business, Indiana University
'As important contributors to the theory of Industrial Organisation, Belleflamme and Peitz are ideally placed to explain the implications for strategists and policy makers – their book will be valuable to students and practitioners alike.' Paul Klemperer, FBA, Edgeworth Professor of Economics, University of Oxford, and former-Member UK Competition Commission
'Industrial economists have been blessed with some significant texts over the centuries. However, until Belleflamme and Peitz, no one had attempted to cover it all. Markets and Strategies does that. It is all here. From monopoly to competition, from simple pricing to pricing with menus, from bundling to innovation. There is no topic left untouched. It is a must have for teachers and students alike.' Joshua Gans, Professor of Management, Melbourne Business School, University of Melbourne
'Paul Belleflamme and Martin Peitz's Industrial Organization: Markets and Strategies offers a fully up-to-date treatment of modern industrial organization, including recent work on intellectual property, new forms of price discrimination, competition policy and two-sided markets. Theoretically inclined, clearly written, and mathematically accessible to a wide audience (including advanced undergraduates), it usefully provides motivation through short business-strategy or competition-policy cases. A tour de force and a must-read for students, researchers and practitioners of the field.' Jean Tirole, Director, Fondation Jean-Jacques Laffont, Toulouse School of Economics
'Paul Belleflamme and Martin Peitz provide a very careful and thorough up to date treatment of the main topics in Industrial Organization analysis. They do so in a pedagogical and clear way, including the step-by-step development of the models and contrast with real-world cases, that will prove very effective with students. The book also includes the analysis of issues relevant for the information economy such as bundling, intellectual property and two-sided markets.' Xavier Vives, IESE Business School
An up-to-date account of modern industrial organization that blends theory with real-world applications. Written in a clear and accessible style, it acquaints the reader with the most important models for understanding strategies chosen by firms with market power and shows how such firms adapt to different market environments.See all Product description
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The book is more advanced than many of its competitors, with more focus mathematical modeling. A critic to the mathematical models used is that they are often parameterized linear models and numerical examples are necessary to illustrate the point. A question is what probative force and inferential value one will get from so specific models. Maybe a more general model and a verbal discussion would have been better. I miss some philosophical and historical aspects of industrial organization. Mostly the book goes directly to the modern models. The book could be more critical to the methodology and inferential value of the models used, although the equilibrium selection problem in game theoretic models is vaguely mentioned.
As a practitioner of antitrust, I would have preferred that the references to the antitrust laws of US and competition laws of EU would have been more precise, but it is not a law book at the end of the day. For a full understanding I recommend that it is read together with a book on antitrust law and some book or article on the philosophical aspects of modeling in industrial organization.
I think this book it is on the way of replacing Church and Ware's book as a standard material for advanced undergraduates IO courses. More technical than average undergraduated books. So, it is more challenging but improves significantly the learning process with good empirical cases.
Another contribution Belleflamme's books has is a very thorough discussion of quality, information and network issues. Those sections are better organized and structured than similar books. It is the first time I see a book with an Intermediated goods section.
Perhaps it would be nice to have a more ample discussion on the theory of the firm including, coasian, transaction cost, property rights and resource view theories.
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