CORPORATE STRATEGY

Because the course aims to examine various decisions at corporate level, independently by the size and industry of each analyzed firm, the course objective is to have students able to put themselves in the perspective of the decision-maker. This should allow each student to be able to express a technical assessment with regard to each of the examined strategic decisions. Such assessment is intended at both strategic and financial level, with a specific focus toward every corporate decision that is considered during the course, with a special capability to compare different strategic decisions even though all able to produce firm value.

In particular, with regard to Dublin Descriptors:

1. Knowledge and understanding:

At the end of the course, students will have understood the relevance of the aspects that are common to finance and firm’s strategy and will know the logics related to value creation. The course aims to the acquisition of the theoretical principles concerning the main decisions of corporate strategy and the financial decisions supporting them. Together with the theoretical notions, the course aims to provide students with the necessary competences of professional nature that they need to be able to apply the learned methods and models to the work environment once they get out of university and begin their professional history.

2. Applying knowledge and understanding:

Students will acquire knowledge and skills at both theoretical and practical level with regard to the selection of proper financial choices of strategic importance to the firm. Special attention is thus devoted to the understanding and learning of the analytical instruments exhibited in class. Furthermore, through the presentation of real life case studies, the course aims to develop students’ critical abilities.

3. Making judgments:

Students will acquire autonomy of judgment and the ability to connect the theoretical arguments and the related implementation plans, with special attention to the strategic decisions that firms implement to create or improve their value. In this regard, the course will stimulate students’ critical thinking.

4. Communication skills:

Students will acquire communication abilities and appropriateness in the use of the technical jargon regarding the main decisions of corporate strategy. Each student will be in the position to discuss with others and transfer them – in a clear and precise manner – information, analyses, projects and proposals concerning complex issues of strategic and financial nature.

5. Learning skills:

Students are provided with the right stimulus and hints to actively participate to the learning process in class and to improve their studying methods at individual level, with the aim to more effectively learn the topics. During the course, the instructor will verify the learning of the knowledge transmitted, modelling the method and the teaching rhythms in view of the effective class composition and interaction among its components. In this way, students will aim to acquire a high learning ability, in both theoretical and practical terms, making it easier for her/him to enter the work environment.

In-class lectures and corporate testimonials. The course is structured on a learning method that envisages ongoing students' commitment in both discussions and simulations. Thus, attending lectures is strongly recommended. Students will have to come to class ready to discuss the assigned material. In view of the nature of its objectives, the course “format” privileges an active participation of students in class and at home, following a didactic approach based on “dialogue”, envisaging a continuous interaction between students and the instructor, as much as between groups of students, in order to develop capabilities of analysis and synthesis.

It is suggested to read the contents of each lecture before coming to class, in order to facilitate the understanding of the main themes and their in-class discussion, especially in the form of case studies. The in-class debate will be based essentially on the content of each reading (such as academic articles or case studies) that students will have to know and elaborate together with the rest of the class, showing, if required, to be able to present her/his point of view in front of the other colleagues.

Corporate Strategy is a topic proposing a deep study of the strategic and financial logics behind the main decisions taken by managers, especially those in top managerial positions. Overall, a firm strategy is the outcome of a complex set of choices that, usually, are limited by the firm’s availability of financial resources. Strategy, in this regard, is defined as the set of managerial initiatives aiming to achieve superior performances in comparison to rivals. Students are required to comprehend and consequently develop a reasoning process about the main aspects related to those themes.

The course is organized in two parts. In the first, we will focus on the corporate instruments employed by managers to create value, on the systemic nature characterizing the decisions of corporate strategy, on the relationships between internal and external variables, on the links between strategy, governance and finance and, finally, on the financial strategy employed by the firm. In the second part, we will examine some specific typologies of strategic decisions, such as international diversification, and the acquiring, collaborative, and co-opetitive strategies, as much as those related to the creation of a foreign basement (i.e. greenfield). In line with the main goals of the degree, special attention will be given to the economic evaluation of such strategy.

1. Gooderham P.N. & Grøgaard B. (2019), Global Strategy and Management: Theory and Practice, Edward Elgar Publishing.

2. Pisano, V. (2012), Le modalità d’entrata nei mercati internazionali: il ruolo dell’integration manager nella governance d’impresa, Franco Angeli, Milano.

3. Didactic Material distributed in class or online on Studium (standard, additional, in form of slides and various publications/papers).

The final exam will take place at the end of the course and will be in written form. 

The possible exam topics are all the topics indicated in the syllabus content. 

- knowledge of the topic,

- appropriateness of the technical jargon,

- adequacy of the answers relatively to the questions,

- ability to connect different topics,

- logical capacity in debating on the topics,

- capacity to contextualise the topic using practical examples from real firm's life,

- capacity to express a critical assessment actively participating to class discussions.

When performing the final exam, students are required to book it previously as clarified on the Department internet site, and to have a valid I.D..

At the end of the course, the instructor will establish the date for the final exam. Such date will in any case precede the date of the first exam session following the end of the course. The exam may be on the entire program. The duration and exam modalities will be communicated during classes, in line with the number of students attending the course. The exam will only be in English language just as he rest of the course. 

To have the right to do the exam, students must have attended at least the 75% of the classes. It will not be possible to integrate the final exam with an additional oral exam. 

The following are simple example of possible demands that can be done during the exam:

1. Please explain the difference between global and multi-domestic strategy, clarifying their strengths and weaknesses.
2. Please individuate and explain what are the necessary elements allowing for the creation of an alliance with a foreign partner.
3. Please identify the possible options in choosing the right entry mode for a foreign expansion.
4. What is a product diversification strategy?
5. Why a MNE should vertically or horizontally integrate?
6. What does it mean to manage a supply chain at global level?
7. Please identify all relationships between corporate governance and diversification strategy.
8. What is the ethical importance of CSR?
9. What are the conditions to justify a cross-border acquisition?
10. What is a transnational strategy?
11. What is the institutional context?
12. How can national culture influence corporate level decisions?