More About Real Options

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The existence of high uncertainty in the project investment, which requires reliable evaluation methods to hep business practitioners in making investment decisions.

Real Options is considered as one technique that can meet the above requirement.

In this technique, rather than become a barrier to investment, the uncertainty of the project may even be an opportunity to obtain the growth potential of the project.

Flexibility management strategy in the face of changing circumstances in the future should be taken into consideration when making an investment decision at this time.

People are now talking about Economic Value Added (EVA) of an project investment, we believe it is time also to talk Economic Value of Flexibility (EVoF) in their investment strategy