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Introduction: Strategy and Economics. Primer: Economic Concepts for Strategy. PART ONE: FIRM BOUNDARIES. 1. The Evolution of the Modern Firm. 2. The Horizontal Boundaries of the Firm: Economies of Scale and Scope. 3. The Vertical Boundaries of the Firm. 4. The Transactions Costs of Market Exchange. 5. Organizing Vertical Boundaries: Vertical Integration and Its Alternatives . 6 Diversification. PART TWO: MARKET AND COMPETETIVE ANALYSIS. 7. Competitors and Competition. 8. Strategic Commitment. 9. The Dynamics of Pricing Rivalry. 10. Entry and Exit. 11. Industry Analysis. PART THREE: STRATEGIC POSITION AND DYNAMICS. 12. Strategic Positioning for Competitive Advantage. 13. Sustaining Competitive Advantage. 14. The Origins of Competitive Advantage: Innovation, Evolution, and Environment. PART FOUR: INTERNAL ORGANIZATION. 15. Incentives and Agency. 16. Strategy and Structure. 17. Power and Culture. 18. Strategy and the General Manager. Glossary. Ind ex._