Sustainability investments and strategic decision making : articles of faith or calculated predictions? the case of the maritime shipping industry

Serafim Agrogiannis, 1980- (Författare)

ISBN 9789177312116 · pdf

Handelshögskolan i Stockholm (Utgivare)

utgivning

Stockholm : Stockholm School of Economics, 2021

1 electronic resource (249 pages)

Serafim Agrogiannis

Onlineresurs

Digital resurs · 1 bibliotek

Finns online:

https://research.hhs.se/esploro/outputs/991001480431906056

ämne

Strategy, Retail options, Decision-making, Investment, Sustainability, Maritime shipping, Market, Strategisk planering, Investeringar, Hållbar utveckling, Rederier

Fler detaljer Referera

Sammanfattning

For business decisions involving upfront commitment of resources to uncertain future outcomes, real options theory presents itself as a powerful tool in helping firms contain downside risk while preserving upside potential. Managers are often confronted with choices whether, when and how to invest in firm assets. In a world of capital constraints and opportunity costs, careful consideration of alternatives is a prerequisite. Otherwise, any misjudgement might compromise not only competitiveness but the very existence of the firm itself. While the fields of financial economics and strategy approach real options with different questions in mind, namely company valuation and competitive advantage respectively, issues of understanding the decision-making process itself still remain a tall order for scholars and executives alike. To shed light into this subject matter, the current work turns to the maritime shipping industry. An industry fraught with uncertainty and risk, where investment decisions and their complexities are at the forefront. The empirical setting has been chosen to reflect these challenges and provide rich contextual insight, informing both theory and practice. The overall aim is to bring real options theory closer to the actual intricacies reverberating business practice. By doing so, the thesis attempts to develop a decision-making framework and motivate concerted efforts in future empirical research.