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Using Real Options to Value and Manage Exploration


APPLYING REAL OPTIONS THEORY TO HRM - Cornell eCommons

Any discussion on the value of human resource management (HRM) for strategic outcomes is incomplete without an analysis of the uncertainties associated with ...

Capabilities as Real Options - Boston University

In effect, real option valuation marries the resource-based view with industry positioning by ... the Option Value of Multinationality,” Management Science, 40: ...

Managing a Portfolio of Real Options: Sequential Exploration ... - jstor

The flow of exploration information must be managed in concert with investment in the underlying as- sets, and the value of the portfolio as a whole will ...

Real Options | Harvard Business Publishing Education

This module introduces the concept of real options and explores how real options theory can be used in a variety of contexts to improve managerial decision- ...

A Real-World Way to Manage Real Options

Net-present-value analysis of expected cash flows—the main alternative to real-options analysis and the method most firms use to value investment projects— ...

The real power of real options - McKinsey

1. The value of financial and real options can be determined using six levers. ; 2. Option valuation is more comprehensive than traditional net- ...

real options - NYU Stern

Greater uncertainty raises the value of an option by increasing the value of flexibility. ... The oil price collapse. Best practice in managing real options. Page ...

Exploring the Usefulness of Real Options Theory for Foreign Affiliate ...

Scholars propose that future research on real options theory should shift attention away from option buying during the first investment stage and toward ...

REAL OPTIONS AND DISCOUNTED CASH FLOW ANALYSIS TO ...

By evaluating and managing strategic investment projects under uncertainty, this approach encourages proactive investment management and, if used properly and ...

PART II: ADVANCES IN REAL OPTIONS RESEARCH IN STRATEGY

Although the term 'real option' is used with multiple meanings in financial economics and management, a key feature is that the real option creates economic ...

Session 21: Introduction to Real Options - YouTube

... options, starting with why real options are so attractive to analysts and investors: they allow you to add a premium to your DCF value. The ...

Valuing an offshore oil exploration and production project through ...

To be useful to project managers, real option analysis (ROA) needs to capture the unique characteristics of individual projects and, at the same time, ...

Real Options Valuation: Finance Explained - Vintti

Integrating real options into strategic thinking is key for maximizing growth opportunities and shareholder value. Risk Management Through Real ...

Real Options Analysis and Strategic Decision Making - Google Sites

The real options approach is frequently advocated as an approach that offers a positive and radical reassessment of the value of risk and exploration. We ...

25 Years of Real Option Empirical Research in Management

Whereas economists use real option logic to calculate a real option value (referred to as 'real options valuation'), management scholars ...

Considering Boundaries for the Application of Real Options to ...

Real options investments are characterized by sequential, irreversible investments made under conditions of uncertainty (Dixit & Pindyck, 1994). The framework ...

Reasons why Real Options Analysis (ROA) is not widely adopted in ...

Using real options to value and manage exploration. Society of Eco- nomic ... Using dynamic dcf and real options to value, manage, and finance mining ...

Real Options Valuation with MATLAB: A Mining Economics Case ...

The purpose of performing real options valuation was to help us decide whether the mine should continue to operate or be put on hold. Focusing on iron ore ...

Valuation of Mining Investment Projects by the Real Option Approach

is to deal with a more practical approach to project valuation ... With Such Substantial additional value Created by the option, AMMC may want to eXplOre.

APV and Real Options: Expanding Investment Opportunities

Real options analysis can help the company to evaluate the potential outcomes of the investment, taking into account the value of flexibility ...