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| Real options are the valuable operational choices available to the owners of projects and of businesses.
| | 1. ''Working effectively with others - performance.'' |
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| For example, the options to expand, contract, defer or abandon the project (or business).
| | A peer is an individual of similar seniority or an organisation operating in the same sector, usually of similar size. |
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| The existence of valuable real options in favour of the owners generally increases the total value of a project or business.
| | 2. ''Corporate performance.''. |
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| For this reason a real options analysis of a proposal may in some cases result in a decision to proceed with the project, in circumstances where other project evaluation techniques would have led to rejecting the proposal.
| | Abbreviation for peer company or business. |
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| However, it is also possible that a proposal may grant real options - perhaps inadvertantly - in favour of other parties.
| | ==See also== |
| | *[[Coach]] |
| | *[[Coaching]] |
| | *[[Peer coaching]] |
| | *[[Peer company]] |
| | * [[Peer-to-peer]] |
| | *[[Peer review]] |
| | *[[Performance]] |
| | *[[Performance management]] |
| | *[[Skills and performance coaching]] |
| | *[[Working effectively with others]] |
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| In such a case, the other parties might in future exercise their real options ''against'' the interests of the owners, causing losses to the owners.
| | [[Category:Accounting,_tax_and_regulation]] |
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| Such real options in favour of other parties are ''liabilities'' of a project or business, and ''reduce'' the total net value of the project or business.
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| == See also ==
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| * [[Abandonment option]]
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| * [[Contraction option]]
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| * [[Deferment option]]
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| * [[Expansion option]]
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| * [[Grant]]
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| * [[Option]]
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| * [[Project appraisal]]
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| * [[Real]]
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| *[[Real estate]]
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| * [[Real options valuation]]
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| * [[Termination option]]
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| == Other resource ==
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| * [[Media:2015_07_July_-_Hidden_treasure.pdf| Hidden treasure, The Treasurer, 2015]]
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| [[Category:Financial_products_and_markets]]
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| [[Category:The_business_context]]
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