Grzegorz Pawlina
| Date of Ph.D. defense: | June 20, 2003 |
| Title of thesis: | Corporate Investment under Uncertainty and Competition: A Real Options Approach PDF |
| ISBN: | 90 5668 118 4 |
| Promotor: | Prof.dr. Peter Kort |
Abstract:
Corporate investment opportunities can be represented as a set of (real)
options to acquire productive assets. Identification of the optimal exercise
strategies for these options plays a crucial role in improving the quality
of capital budgeting decisions and, as a consequence, in maximizing
shareholders' wealth. Structural changes in the economic environment,
imperfect product market competition and agency conflicts across different
groups of the firm's stakeholders make the standard option theory alone
often insufficient for analyzing real investment decisions. This thesis
combines option theory with non-cooperative game theory to establish some
new results concerning the impact of policy uncertainty, product market
interactions, and debt financing on the firm's optimal investment strategy.
Global / English