Real Options and the Theory of the Firm
نویسنده
چکیده
From the real options perspective the firm is conceived as a portfolio of real options. However, the theory of the firm traditionally argues into a similar direction by viewing the firm as either a set of institutions, as set of property rights or as a set of contracts. Due to this similarity, the question arises how far real options analysis can contribute to the theory of the firm and to an understanding of the organizational question ‘Why do firms exist?’. Therefore, this paper investigates the issue how real options should be best managed according to different types of uncertainty: within the firm, outside the firm or by intermediate forms of organizations such as joint ventures. In this light, real options analysis appears as a further, promising approach within the theory of the firm. JEL Classification: D23, D80, L22
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