The productivity of the world's natural resources is critically dependent on a variety of highly uncertain factors, which obscure individual investors and governments that seek to make long-term, sometimes irreversible investments in their exploration and utilization. These dynamic...

The objective of this paper is to transfer the real options valuation approach to investments in organizational resources and capabilities which have been exten-sively discussed within the resource-based approach of strategic management. The paper starts with the analysis of fundamental...