MBA

Programme
GraduateSchool of Business
http://www.mba.itb.ac.id
INSTITUT TEKNOLOGI BANDUNG

MM5006
Business Economic
Taufik Faturohman

YOUNG PROFESSIONAL CLASS (YP 51B)

January 2015
MASTER OF BUSINESS ADMINISTRATION
SCHOOL OF BUSINESS AND MANAGEMENT
INSTITUT TEKNOLOGI BANDUNG
http://www.sbm.itb.ac.id/mba

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Contents
N
o

Description

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Vision and Mission of MBA ITB

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Learning Goals of MBA ITB .

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Learning Goals of This Course .

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Learning Outcomes of This Course .

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The Course Structure

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The Course
Plan....
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Lecturer Profile ..
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10

Grading ..
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10

Student Guidance
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10

1
0

11
References ..
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.........

1. Vision and Mission of MBA-ITB

MBA ITB has a vision and mission as follows:
Vision:
To be A World Class Program of Master and Business Administration that
Creates Ethical and Entrepreneurial Leaders
Mission:
To educate and develop future leaders in business
To develop the knowledge of business and management which is
relevant and applicable for business leaders in Indonesia and the
world
To develop sustainable education program for building human
resource capacity needed for enhancing industry competitiveness in
Indonesia

2. Learning Goals of MBA-ITB

In General, The MBA-ITBslearning goal is to developstudents to have the
followingcharacteristics :
Knowledgeable and competent in management of business functions
and resources such as marketing, finance, operations, human resource
and technology
Ethical and entrepreneurial business leader who has a big concern
about social and environmental issues
Understand the importance of local, national and global issues to
business operations and able to adapt the business operations to
sustain and grow in the changing business environment

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Continuously learn and develop ownself using professional, humanism

and ethical manner to deal with business challenges in the future

There are three programs atMBA ITB Bandung campus with specific
learning goals as follows:
A. Young Professional
The learning goal of this program is to build business sensitivity and
business administration knowledge and skills required to startcareer at
managerial level.
B. Creative and Cultural Entrepreneurship (CCE)
The learning goal of this program is to teach students about doing
business in creative and culture. The goal of this course is to develop
students ability to explain why economic events happen the way they do,
and how firms and individuals can successfully react to events. To
accomplish this goal, we will work toward mastery of several economic
principles that governs most economic behavior. We will be particularly
interested in understanding markets and competition because those are
the central realities of the modern economy.
C. Executive MBA
The learning goal of this program to improve students agility in decision
making and to develop a holistic view of business which enables them to
lead a business project on a higher level effectively in todays business
environment.

3. Learning Goals of This Course

This course aims to (1) familiarize the managers with the economics
problems and issues that confront them daily, and (2) provide them with
the concepts, insights and tools to help them to make decisions and gain
competitive advantage for their organizations.
The main goal of this course is to apply the tools of economic theory to
address a series of questions that the managers faced. Using the timetested economic theory, this course will explore the real world
applications.

4. Learning Outcomes of This Course

The goal of this course is to develop students ability to explain why
economic events

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happen the way they do, and how firms and individuals can successfully
react to events. To accomplish this goal, we will work toward mastery of
several economic principles
that governs most economic behavior. We will be particularly interested in
understanding
markets and competition because those are the central realities of the
modern economy.

5. The Course Structure

This course are divided into two main issues which are Microeconomics
and Macroeconomics, the structure of the courses are explained as
follows:
First half of the semester

Second half of the semester

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6. The Course Plan

Date
Wednesday,
January 21st ,
2015

Wednesday,
January 28th ,
2015

Outcome(s)
- Understanding
and applying
knowledge
and tools in
the
managerial
and strategic
design pillar
related with
business
economics.
- Using
appropriate
resources to
analyze and to
purpose
alternative
solutions.
- Understanding
rational and
non-rational
behavior of
people in
order to
purpose
business
solution.
- Understanding
and applying
knowledge
and tools in
the
managerial
and strategic
design pillar
related with
business
economics.
- Using
appropriate
resources to
analyze and to
purpose
alternative
solutions.
- Using
appropriate

Activity(ies)
Session 1
(08.00-09.30):
Introduction
Introduction to
Managerial
Economic
(Lecture and
Class
discussion)

Preparation

Evaluation

Read Syllabus
and SD Ch 1

Facilitat
or
TF

Break
Session 2
(09.45-11.15):
Demand,
Supply, and
Equilibrium
(Lecture and
Class
Discussion)

Session 1
(08.00-09.30):
Optimization
Techniques
(Lecture and
Class
Discussion)

Read SD
Ch 2, COL
Ch.4 and 5.

TF

Class
Discussion
SD Case 2-2
Changes in
Demand and
Supply and
Coffee
Prices

Read SD Ch 3
and Appendix
1 & 2 Ch.3

Class
Exercise Ch1
1-8, 1-9, 115, Ch.3
Appendix
Problem 39

TF

Break
Session
2(09.45-11.15):
Elasticity
(Lecture and
Class
Discussion)

Read SD
Ch.4

TF

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Wednesday,
February 4th ,
2015

Wednesday,
February 11th ,
2015

Wednesday,
February 18th ,
2015

resources to
analyze and to
purpose
Understanding
and applying
knowledge
and tools in
the
managerial
and strategic
design pillar
related with
business
economics.
Understanding
rational and
non-rational
behavior of
people in
order to
purpose
business
solution.
Understanding
and applying
knowledge
and tools in
the
managerial
and strategic
design pillar
related with
business
economics.
Understanding
rational and
non-rational
behavior of
people in
order to
purpose
business
solution.
Understanding
and applying
knowledge
and tools in
the
managerial
and strategic
design pillar
related with

Session
1(08.00-09.30):
Application on
Demand
Estimation I
(Class
Discussion)

Read SD Ch.
4

Class
Exercise SD
Ch. 4 (4-2, 49, 4-12)

TF

Case study
4-2 Demand
for Sweet
Potatoes (SD
p.128/129)
and Why Do
the Prices of
Newspaper
Rise (CF
p.105)

TF

Break
Session 2
(09.45-11.15):
Application on
Demand
Estimation I
(Class
Discussion)

Session 1
(08.00-09.30):
Production
Theory (Lecture
and Class
Discussion)

Read SD Ch.
4

TF
Read SD Ch.7

Break
Session 2
(09.45-11.15):
Cost Theory
(Lecture and
Class
Discussion)

Read SD
Ch.8

TF

Session 1
(08.00-09.30):
Market
Structure I
(Lecture and
Class
Discussion)

Read SD
Ch.9

TF

Break

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Wednesday,
February 25th ,
2015

Wednesday,
March 4th ,
2015
Wednesday,,
March 11th ,
2015

business
economics.
- Understanding
rational and
non-rational
behavior of
- Understandin
g and
applying
knowledge
and tools in
the
managerial
and strategic
design pillar
related with
business
economics.
- Understandin
g rational and
non-rational
behavior of
people in
order to
purpose
business
solution.

- Understanding
and applying
knowledge and
tools in the
managerial
and strategic
design pillar
related with
business
economics.
- Understanding
rational and
non-rational
behavior of
people in order
to purpose
business
solution.

Session 2
(09.45-11.15):
Market
Structure II
(Lecture and
Class
Discussion)

Read SD Ch.
10

Session 1
(08.00-09.30):
Game Theory
(Lecture, Class
Discussion, and
Role Play)

Read SD Ch.
11

TF

Class
discussion
on Article:
Use Game
Theory to
Shape
Strategy

TF

Class
Discussion :
Case Study
SD 12-2 and
12-6

TF

Break
Session 2
(09.45-11.15):
Pricing Practices
(Lecture and
Class
Discussion)

Session
1(08.00-09.30):
Intro to
Macroeconomics
(Lecture and
Class
Discussion)

Read SD Ch.
12

Mid Semester Exam

Read COL
Ch. 24

TF

Break
Session 2
(09.45-11.15):
Measuring
Output and
National Income
(Lecture and
Class
Discussion)

Read COL
Ch. 25

TF

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Wednesday,
March 18th ,
2015

Wednesday,,
March 25th ,
2015

Wednesday,
April 1st
,
2015

- Understanding
and applying
knowledge and
tools in the
managerial
and strategic
design pillar
related with
business
economics.
- Using
appropriate
resources to
analyze and to
purpose
alternative
solutions.

Session
1(08.00-09.30):
The Aggregate
Demand/Aggreg
ate Supply
Model

Read COL
Ch. 27

TF

Session 2
(09.45-11.15):
The Multiplier
Model (Lecture
and Class
Discussion)

Read COL Ch.

28

TF

- Understanding
and applying
knowledge and
tools in the
managerial
and strategic
design pillar
related with
business
economics.
- Using
appropriate
resources to
analyze and to
purpose
alternative
solutions.

Session
1(08.00-09.30):
The Financial
Sector and the
Economy
(Lecture and
Class
Discussion)

Read COL Ch.

30

TF

Session 2
(09.45-11.15):
Monetary Policy
(Lecture and
Class
Discussion)

Read COL
Ch. 31

TF

- Understanding
and applying
knowledge and
tools in the
managerial
and strategic
design pillar
related with
business
economics.
- Using
appropriate
resources to
analyze and to
purpose

Session
1(08.00-09.30):
Financial Crises,
Panics, and
Macroeconomics
Policy (Lecture
and Class
Discussion)

Read COL
Ch. 32

TF

Break

Break

Break
Session 2
(09.45-11.15):
Deficits and

Read COL
Ch. 34

TF

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alternative
solutions.
Wednesday,
April 8th ,
2015

Understandin
g and
applying
knowledge
and tools in
the
managerial
and strategic
design pillar
related with
business
economics.

Debt (Lecture,
Class
Discussion, and
Role Play)
Session
1(08.00-09.30):
International
Financial Policy
(Class
Discussion)

Read COL
Ch. 36 and
Case Study

Class
Discussion
on Case: The
US Current
Account
Deficit

TF

Class
Discussion
on Article:
Mc Kinsey
Report on
Indonesia

TF

Class
Discussion
on Article:
Indonesia
Terpukul 4
Defisit, BI
prioritaskan
Stabilitas,
Quantitative
Easing Jilid 4

TF

Class
Discussion
on Cases:
Singapore
Inc, Greek
Crisis :
Tragedy or
Opportunity

TF

Break
-

Wednesday,
April 15th
,
2015

Using
appropriate
resources to
analyze and
to purpose
alternative
solutions.
Understandin
g and
applying
knowledge
and tools in
the
managerial
and strategic
design pillar
related with
business
economics.
Using
appropriate
resources to
analyze and
to purpose
alternative
solutions.

Wednesday,
22nd
, April
2015

Session 2
(09.45-11.15):
Review on
Indonesia (Class
Discussion)
Session
1(08.00-09.30):
Review on
Indonesia (Class
Discussion)

Read Article

Read Article

Break
Session 2
(09.45-11.15):
Recap &
Summary (Class
Discussion)

Read Case
Study

Final Semester Exam

7. Lecturer Profile
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Name: Taufik Faturohman, PhD

E-mail: taufik.f@sbm-itb.ac.id
About me:
Taufik Faturohman is currently lecturer at the School of Business and
Management Institute of Technology Bandung (SBM ITB). He received a PhD
in Economics and Finance from Curtin Business School, Curtin University of
Technology Western Australia. The title of his dissertations is An
Examination of the Growth of Islamic Banking in Indonesia from 2003-2010.
Taufik obtained his MBA from ITB, and graduated with honor (cum laude). He
earned a Bachelor degree in Materials Engineering, also from ITB. Taufiks
research interests are Islamic banking, Islamic finance, corporate finance,
business risk management and economics.

8. Grading
Item
Quiz
Individual assignment
and class participation
Group assignment
Mid semester exam
Final semester exam
TOTAL

Weight
10%
10%
20%
30%
30%
100%

9. Students Guidance
In
1.
2.
3.
4.
5.

order to succeed, students are advised to do the followings:

Allocate sufficient time for self preparation
Discuss concepts and cases with their syndicate
Elaborate practical cases apart from cases given
Have a proper notes of all lecture
Contribute actively in the class

10. References
Compulsary Materials:

Salvatore, D., (2006), Managerial Economics in a Global Economy, 5th

Edition, Thomson South Western. (SD)
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Colander, Economics, 8th edition, McGrawHill International Edition

(COL)

Reference Material:

Thomas, Christopher R., S.Charles Maurice, (2011), Managerial

Economics, Foundations of Business Analysis and Strategy,
10th
Edition, Mc Graw Hill Irwin. (TM)
Case, K., E., Fair, R., C., (2004), Principles f Economics, 9th Edition,
Prentice Hall. (CF)

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