The relationship between uncertainty and managerial flexibility is particularly crucial in addressing capital projects. We consider a firm that can invest in a project in either a single (lumpy investment) or multiple stages (stepwise investment) under price uncertainty and has discretion over...

Sequential investment opportunities or the presence of a rival typically hasten investment under risk neutrality. By contrast, greater price uncertainty or risk aversion increase the incentive to postpone investment in the absence of competition. We analyse how price and technological...

Disruptive innovations often formulate new market regimes and create incentives to abandon existing, less attractive ones. However, this decision depends not only on market forces, such as economic and technological uncertainty, but also on attitudes towards risk. Although greater risk aversion...

We propose a model of an underlying mechanism responsible for the formation of assortative mixing in networks between “similar” nodes or vertices based on generic vertex properties. Existing models focus on a particular type of assortative mixing, such as mixing by vertex degree, or present...