Real Options in Theory and Practice

Business & Finance, Finance & Investing, Corporate Finance, Investments & Securities, Management & Leadership, Management
Cover of the book Real Options in Theory and Practice by Graeme Guthrie, Oxford University Press
View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart
Author: Graeme Guthrie ISBN: 9780199939084
Publisher: Oxford University Press Publication: July 16, 2009
Imprint: Oxford University Press Language: English
Author: Graeme Guthrie
ISBN: 9780199939084
Publisher: Oxford University Press
Publication: July 16, 2009
Imprint: Oxford University Press
Language: English

Decision-makers in business and economics face a staggering array of problems. For example, managers of growing firms have to decide when to expand their business, governments have to decide whether to undertake large infrastructure investments, and managers of oil firms must decide how rapidly to deplete their reserves. While these problems seem quite diverse, they all share many important features. In each case, the decision-maker must choose when to take a particular action that will be potentially impossible to reverse, and the consequences of taking (or not taking) that action are uncertain. Also, the timing and nature of these actions directly affect the cash flows generated by the entities they manage. This book explains how techniques originally developed to price financial derivatives can be used to analyze real-world decisions, and provides the tools necessary to put them into practice. The real options analysis approach to decision-making is built on strong theoretical foundations, and is widely discussed in practitioner literature, but often only at a fairly intuitive level. What practitioners need-and what this book delivers-is a structured approach to systematically applying real options analysis to the wide variety of problems they will meet in business and economics. Real Options in Theory and Practice focuses on building up a general approach to solving real options problems from the ground up. Rather than aiming to build a "black box" to solve a small set of standardized real options problems, it describes the building blocks of any successful real options analysis and shows how they can be assembled in a way that is appropriate to the problem being analyzed. For both practitioners and academics, Real Options in Theory and Practice will serve as an authoritative and invaluable resource for those looking for effective and practical solutions to complex, real-life problems.

View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart

Decision-makers in business and economics face a staggering array of problems. For example, managers of growing firms have to decide when to expand their business, governments have to decide whether to undertake large infrastructure investments, and managers of oil firms must decide how rapidly to deplete their reserves. While these problems seem quite diverse, they all share many important features. In each case, the decision-maker must choose when to take a particular action that will be potentially impossible to reverse, and the consequences of taking (or not taking) that action are uncertain. Also, the timing and nature of these actions directly affect the cash flows generated by the entities they manage. This book explains how techniques originally developed to price financial derivatives can be used to analyze real-world decisions, and provides the tools necessary to put them into practice. The real options analysis approach to decision-making is built on strong theoretical foundations, and is widely discussed in practitioner literature, but often only at a fairly intuitive level. What practitioners need-and what this book delivers-is a structured approach to systematically applying real options analysis to the wide variety of problems they will meet in business and economics. Real Options in Theory and Practice focuses on building up a general approach to solving real options problems from the ground up. Rather than aiming to build a "black box" to solve a small set of standardized real options problems, it describes the building blocks of any successful real options analysis and shows how they can be assembled in a way that is appropriate to the problem being analyzed. For both practitioners and academics, Real Options in Theory and Practice will serve as an authoritative and invaluable resource for those looking for effective and practical solutions to complex, real-life problems.

More books from Oxford University Press

Cover of the book Speaking Pittsburghese by Graeme Guthrie
Cover of the book India At War by Graeme Guthrie
Cover of the book Creativity by Graeme Guthrie
Cover of the book Interpreting Epidemiologic Evidence by Graeme Guthrie
Cover of the book Planck by Graeme Guthrie
Cover of the book Francisco de Goya by Graeme Guthrie
Cover of the book Making Sense in Religious Studies by Graeme Guthrie
Cover of the book The Ballet of the Planets by Graeme Guthrie
Cover of the book Americans and the California Dream, 1850-1915 by Graeme Guthrie
Cover of the book The Freedom to Be Racist? by Graeme Guthrie
Cover of the book Out of Time by Graeme Guthrie
Cover of the book Saddam's Word by Graeme Guthrie
Cover of the book Reforming Jim Crow by Graeme Guthrie
Cover of the book Roman History: Early to Republic: Oxford Bibliographies Online Research Guide by Graeme Guthrie
Cover of the book Responsible Conduct of Research by Graeme Guthrie
We use our own "cookies" and third party cookies to improve services and to see statistical information. By using this website, you agree to our Privacy Policy