Real Options

Using option pricing models to value investment projects under uncertainty has first been suggested some 25 years ago. Today, the real option approach can be regarded as almost a standard capital budgeting technique, covered by many text books and increasingly applied in practice.

Research projects

Current research at the Chair for International Accounting focuses on:

  • valuation of strategic acquisitions;
  • valuation and timing of investment opportunities shared with competitors;
  • design of accounting-based performance measures in the presence of real options.

People involved

Publications (in German)

a) Monographs
b) Articles & working papers
  • Crasselt, N./Tomaszewski, C., Realoptionen: Systematisierung und typische Anwendungsfelder, in: M&A Review, o.J. (2002), S. 131-137.
  • Crasselt, N./Tomaszewski, C., Unternehmerische Flexibilität bei strategischen Akquisitionen - Einsatzmöglichkeiten von Optionspreismodellen, in: Controlling, 11. Jg. (1999), S. 517-524.
  • Crasselt, N./Tomaszewski, C.,Realoptionen - eine neue Methode der Investitionsrechnung?, in: Wirtschaftswissenschaftliches Studium (WiSt), 28. Jg. (1999), S. 556-559.
  • Crasselt, N./Tomaszewski, C., Bewertung von Realoptionen unter Berücksichtigung des Investitionsverhaltens von Wettbewerbern - Analyse am Beispiel der strategischen Unternehmensbewertung, Arbeitsbericht Nr. 74 des Instituts für Unternehmensführung, Ruhr-Universität Bochum 1998. (Abstract; der Arbeitsbericht kann beim Institut für Unternehmensführung angefordert werden)
  • Crasselt, N./Tomaszewski, C., Realoptionen - eine neue Theorie der Investitionsrechnung?, Arbeitspapier am Lehrstuhl für Internationale Unternehmensrechnung, Ruhr-Universität Bochum, Oktober 1997. (Download)


You can download an Excel spreadsheet that will help you calculate values for various real options using
the binomial option valuation model.

Links to other real options sites

  • Real Options in Petroleum: This website at PUC Rio de
    Janeiro contains comprehensive material on real options in general and the application of the concept to petroleum
    investments in particular. The author of these pages, Marco A. G. Dias, offers teaching material, a comprehensive
    literature overview, and many links to other related websites.
  • Set up as a companion site for the book
    "Real Options: Managing Strategic Investment in an Uncertain World" by Martha Amram and Nalin Kulatilaka,
    this site is now a platform for both practicioners and academics.
  • Homepage of the Real Options Group: This site is maintained by several
    renowned real options academics and advertises their consulting services. The ROG is one of the sponsors of the
    annual conference "Real Options: Theory Meets Practice".