Capital Projects as Real Options
Introduction
Consider the myriad capital planning dilemmas inferred in the following:
(Rocco March 15, 2017).
President Donald Trump visited Detroit Wednesday to announce a re-evaluation of the Obama administration’s aggressive fuel-economy rules, a move that may slow investment in electric cars.
In a speech to industry workers, Trump said he will review fuel-economy rules and other regulations to “protect and defend your jobs [and] your factories” …
Still, automakers continue to pursue advanced technologies like electric and self-driving vehicles, as the industry seeks to stay ahead of global consumer trends.
In addition to major shifts in the structural economics of the global auto sector, the business ...
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