Which of the following are true of real options?
A) Real options give management the ability to delay the implementation of a strategy
B) Real options give management the ability to accelerate the implementation of a strategy
C) Real options give management the ability to abandon a strategy
D) Real options represent the ability of management to change their strategy after the strategy has been implemented.
E) All of the above

Question

Quizplus · Accepted Answer

All of the options listed (delaying, accelerating, abandoning, and changing strategy) are possible outcomes of real options. Real options allow management to have flexibility and adjust their decisions based on changing circumstances or new information.

Which of the Following Are True of Real Options