Research Notes and Commentaries Real Options in Equity Partnerships

نویسندگان

  • TIMOTHY B. FOLTA
  • KENT D. MILLER
  • K. D. Miller
چکیده

We examine factors influencing the decision to acquire additional equity in partner firms in research-intensive industries. This decision involves choosing between flexibility and commitment. Option theory motivates hypotheses regarding the effects of uncertainty, valuation of developing technologies, and the threat of preemptive rivalry. Our main hypothesis is that the resolution of uncertainty for high-value technologies motivates commitment decisions. We also argue that when the underlying growth option is at risk of preemption by rivals, greater uncertainty encourages commitment. An event history model tests these hypotheses using data from minority investments in the biotechnology industry. Copyright  2002 John Wiley & Sons, Ltd.

برای دانلود رایگان متن کامل این مقاله و بیش از 32 میلیون مقاله دیگر ابتدا ثبت نام کنید

ثبت نام

اگر عضو سایت هستید لطفا وارد حساب کاربری خود شوید

منابع مشابه

Global Health as a Field of Power Relations: A Response to Recent Commentaries

Actors working in global health often portray it as an enterprise grounded in principled concerns, advanced by individuals and organizations who draw on scientific evidence to pursue health equity. This portrait is incomplete. It is also a field of power relations—a social arena in which actors claim and draw on expertise and moral authority to gain influence and pursue career, organizational a...

متن کامل

The Role of Managers Ownership in the Relationship between the Disclosure of Corporate Ethical & Social Responsibility & Cost of Equity

Background: Accurate and timely disclosure of information is one of the most important tools for company managers to reduce the cost of capital. The purpose of this study is to investigate the role of managerschr('39') ownership in the relationship between the disclosure of corporate social and moral responsibility and the cost of equity in companies listed on the Tehran stock exchange. Method...

متن کامل

ذخیره در منابع من


  با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید

عنوان ژورنال:

دوره   شماره 

صفحات  -

تاریخ انتشار 2001