Chawla, Arunish - London School of Economics (LSE) - 2008
FDI option, while growing market size and national income facilitate early exercise. The model is extended to include a … Poisson jump process, which has policy implications for FDI reforms and explains ‘wait and watch’ behaviour of multinational … based on the theory of call options, I solve ‘FDI option’ as a put option, thereby also enriching the theory of real options. …