In the face of uncertainty, firms often place a premium on flexibility. By keeping their options open, firms are able to adjust decisions as uncertainty is resolved. Valuing this benefit of flexible projects is the focus of the real options approach to capital budgeting. This paper presents an...

The recent spate of corporate scandals in the United States has led to a newfound emphasis on developing a culture of ethics within organizations. Many hope the leadership of a few can help persuade ethical behavior by others. This article suggests that direct interpersonal influences need not...