In todays global economic environment, many firms have chosen to downsize operations and share services or facilities
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In today’s global economic environment, many firms have chosen to downsize operations and share services or facilities with another firm. An example is the joint venture by Fiat and Chrysler to share their manufacturing facilities in Europe and North America. Explain how the real options approach can be used to assess the value of this type of investment decision.
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Real Options Approach for Joint Ventures like FiatChrysler Traditional investment analysis methods often underestimate the value of joint ventures lik...View the full answer
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Related Book For
Corporate Finance
ISBN: 9780077173630
3rd Edition
Authors: David Hillier, Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan, Jeffrey F. Jaffe
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