Models
A set of examples files to illustrate real options of projects:
1. A model that illustrates the real option of abandoning a project at a future time if the project is not doing well.
2. A model that illustrates the real option of postponing investment in a project rather than investing right away.
3. A model that illustrates the real option of expanding a project at a later date.
4. A model that illustrates the real option of reducing the size of a project at a later date.
5. A model that illustrates the real option of participating in a "pioneer" project, a money-loser that allows a company to "get in the game".
6. A model that illustrates a sequence of two real options in the pharmaceutical industry.
