 Creation and Co-evolution of Strategic Options by Firms: an Entrepreneurial and Managerial Approach of Flexibility and Resource AllocationChapter 11 in Powerful Finance and Innovation Trends in a High-Risk Economy, 2008, pp 183-206 from Palgrave Macmillan Abstract: Abstract The success of a firm depends on its capability to create and exploit new projects, routines and technologies. Those projects are competitive opportunities that the firm must recognize, evaluate, and on which it has to be able to apply operating capabilities to take advantage of them. The general management responsible for the firm’s strategic direction frequently fails to manage the organization’s technological innovation process that creates these opportunities (Adner and Levinthal, 2004). To help managers in their decision-making process in uncertain environments new techniques and theories are developed; one of them is the real option theory. This conceptual decision-making framework is about to become a standard. The formal approach, originating from financial models, dealing with future uncertainty and the opportunities a firm can seize, is appealing to managers. Keywords: Human Capital; Real Option; Physical Capital; Potential Option; Active Firm (search for similar items in EconPapers) There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it. Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-0-230-58409-9_12 Ordering information: This item can be ordered from Access Statistics for this chapter More chapters in Palgrave Macmillan Books from Palgrave Macmillan |
Is your work missing from RePEc? Here is how to contribute.
Questions or problems? Check the EconPapers FAQ or send mail to .
EconPapers is hosted by the
School of Business at Örebro University.