In this study, we analyze the investment-timing problem and introduce a model of two firms competing for investment … preemption, each of which knows in advance the time at which the economic condition that will have an impact on the investment … changes. We qualitatively show how two firms strategically optimize their investment timing, taking into account competition …

on-going investment costs until completion. Since time to completion is uncertain, the total investment costs will also … completion and European options at completion (because of fixed final investment costs) we obtain simple closed form solutions …

-going investment costs until completion. Since time to completion is uncertain, the total investment costs will also be uncertain … options at completion (because of fixed final investment costs) we obtain simple closed form solutions. We apply the framework …