APPLYING OPTION VALUATION METHODS FOR ANALYZING OUTSOURCING DECISIONS

APPLYING OPTION VALUATION METHODS FOR ANALYZING OUTSOURCING DECISIONS

  • Veneta Markovska
Keywords: Option valuation, outsourcing decisions, types of outsourcing activities, option based approach for strategic decision analysis

Abstract

Outsourcing has become a popular choice and a serious industry powering economic growth of entire regions and even countries. There are different reasons why outsourcing may be the best way to go for companies regarding specific activities and that depends a lot on the type of the activity. This paper presents a way to study and quantify outsourcing decisions using option valuation methods. Fundamental types of outsourcing services are discussed so demonstrate how their characteristics fit in option valuation methods.

References

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Published
2023-02-01
How to Cite
Markovska, V. (2023). APPLYING OPTION VALUATION METHODS FOR ANALYZING OUTSOURCING DECISIONS. Vanguard Scientific Instruments in Management, 10(10). Retrieved from https://www.vsim-journal.info/index.php?journal=vsim&page=article&op=view&path[]=351