Research on E-Business Investment Decision Making Based on Option Games

摘要：

The theory of option games being the combination of two successful theories, namely real options and game theory, has a great potential to applications in many real situations. E-business investment has the character of large scale and high uncertainty.This paper employs the option games model to research the E-bank investment decision-making.The real option method can avoid the pitfall of Net Present Value(NPV) approach for e-business investment decision-making. But it ignores the interaction between competitors. In the light of the problems existing in e-business investment decision- making, this paper employs the option games models to study the decision-making for e-business investment. It can consider the key factors such as uncertainty, flexibility, and timing, the effect of competition for each firm.

关键词： E-business Optimal timing Option games Competition environment

作者: Han Guowen

作者单位: Economics and Management School, Wuhan University, Wuhan, 430072, P.R.China

会议类型: 国际会议

会议名称: 第六届管理学国际会议(Proceedings of ICM2007 the 6th International on Management)

会议地点: 武汉

会议语种:英文

页码: 340-344

在线出版日期: 2007-08-03（万方平台首次上网日期，不代表论文的发表时间）