Real options and interactions with financial flexibility

This paper has two main goals. First, it provides a comprehensive overview of the existing real options literature and applications, and presents practical principles for quantifying the value of various real options. Second, it takes a first step towards extending the real options literature to rec...

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Detalles Bibliográficos
Autor: Trigeorgis, Lenos
Tipo de recurso: artículo
Estado:Versión publicada
Fecha de publicación:2007
País:Brasil
Institución:Fundação Getulio Vargas (FGV)
Repositorio:Revista de Administração de Empresas
Idioma:portugués
OAI Identifier:oai:ojs.periodicos.fgv.br:article/36938
Acceso en línea:https://periodicos.fgv.br/rae/article/view/36938
Access Level:acceso abierto
Palabra clave:Real options
real option valuation
financial flexibility
net present value
discounted cash-flow
Opções reais
valoração de opções reais
flexibilidade financeira
valor presente líquido
fluxo de caixa descontado
Descripción
Sumario:This paper has two main goals. First, it provides a comprehensive overview of the existing real options literature and applications, and presents practical principles for quantifying the value of various real options. Second, it takes a first step towards extending the real options literature to recognize interactions with financial flexibility. The comprehensive literature review traces the evolution of the real options revolution, organized around thematic developments covering the early criticisms, conceptual approaches, foundations and building blocks, risk-neutral valuation and risk adjustment, analytic contributions in valuing different options separately, option interactions, numerical techniques, competition and strategic options, various applications, and future research directions.