Corpus ID: 33520606

Approaches for evaluating a portfolio of R & D projects with a budget

@inproceedings{Costa2012ApproachesFE,
  title={Approaches for evaluating a portfolio of R & D projects with a budget},
  author={Anabela Costa and J. P. Paix{\~a}o},
  year={2012}
}
The Real Options approach has proved to be a suitable methodology for capturing the flexibility in the investment decision process. This is very useful for the financial evaluation of R&D projects where there are several possible decisions concerning to the investment – delaying, improving or abandoning. Since the risk of an R&D project is usually due to singular characteristics of the project and is uncorrelated with the financial markets, the contingent claims analysis may be not adequate to… CONTINUE READING

Figures and Tables from this paper.

References

Publications referenced by this paper.
SHOWING 1-10 OF 18 REFERENCES
Special Issue on Design and Development: Project Management Under Risk: Using the Real Options Approach to Evaluate Flexibility in R...D
285
Real options valuation: the new frontier in R&D project evaluation?
201
The Option Value of Advanced R&D
158
When Choosing R&D Projects, Go with Long Shots
86
The Value of Waiting to Invest
2928
MULTI-STAGE CAPITAL INVESTMENT OPPORTUNITIES AS COMPOUND REAL Options
133
Evaluating pharmaceutical R&D under technical and economic uncertainty
68
Strategic investment under uncertainty: A synthesis
93
The General Flexibility to Switch: Real Options Revisited
166