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Chinese Journal of Management Science ›› 2004, Vol. ›› Issue (3): 18-21.

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The Strategic Analysis Framework for Project Investment Portfolio Based on Real Option

ZHANG Qing-hua1, TIAN Zeng-rui1, Wang Jing2   

  1. 1. School of Management, Fudan University, Shanghai 200433, China;
    2. Beijing Jiaotong University, Beijing 100044, China
  • Received:2003-03-28 Revised:2004-03-31 Online:2004-06-28 Published:2012-03-07

Abstract: This paper exploits a framwork to apply option space to improve strategic decision making based on the option pricing and an example is provided to show the investment strategy for each type of option.

Key words: project investment, real option, net present value, Black-Schloes formula

CLC Number: