Are Real Options “Real”?

I am interested in clarifying the discussion of how researchers might try to isolate real option effects to identify whether managerial decisions are guided by a real option heuristic. If we are to claim that the theory of real options illuminates managerial behavior, then as a field, we must conver...

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Bibliographic Details
Published inResearch Methodology in Strategy and Management Vol. 2; pp. 93 - 109
Main Author Folta, Timothy B.
Format Book Chapter
LanguageEnglish
Published Emerald Group Publishing Limited 19.07.2005
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Summary:I am interested in clarifying the discussion of how researchers might try to isolate real option effects to identify whether managerial decisions are guided by a real option heuristic. If we are to claim that the theory of real options illuminates managerial behavior, then as a field, we must converge on an understanding as to what constitutes a real option effect, and what does not. The discussion centers on hypothesis development, measurement issues, and research methodology.
ISBN:9780762312085
0762312084
ISSN:1479-8387
DOI:10.1016/S1479-8387(05)02005-9