I have to look at the negative behavior costs. If an individual has a gambling problem (context) the awareness of being able to purchase lottery tickets at his...
Josephine, Good spot regarding the distinction between cost and value. It's easy to mix the two even though they are different, though related concept. ...
Hi Luke I agree that it is important to distinguish between value and costs. Good Call Josephine. In the example you suggest, a deep in the money put option...
Hi Eric Real Options assume rationality and as you point out we often do not act rationally. The option to buy lottery tickets has value. However if our...
Financial options are frequently isolated from the individual and focused on the good or entity being traded on. Insurance maths may have some perspectives on...
Eric I could not agree more. ( are you sure we've not met before. ) It's amazing how few decisions are rational. Regards Chris (Sent from my iphone.)...
Wow. I have had three independent recommendations for this book today. Maybe the universe is trying to tell me something. In addition, I'm reading Buyology...
Awesome example of real options... Regards Chris (Sent from my iphone.) ... Awesome example of real options... Regards Chris (Sent from my iphone.) Begin...
... Good point! I had not thought of it in those terms. I've also been doing the same thing with WantWorkshop http://www.wantworkshop.com. -- Joseph Wilk ...
Hmmm. Are these options or are they demand/pull based scheduling? ... Hmmm. Are these options or are they demand/pull based scheduling? On Mar 26, 2012 1:31...
I think pull-based scheduling is a form of options. You're declaring capacity (early commitment) but not usage of that capacity (just in time commitment) to...
An option usually has some form of increasing cost, or at least changing cost. This is scheduling capacity because the band isn't paying anything. It might be...
I think they are paying in that they committed three specific dates, so the price to cancel the commitment is paid in brand loss/fan loss if they, for example,...
Hi all, Here are some unfinished thoughts, ideas and my view of options and their application in my day to day life. They bubbled up after reading the previous...
Hi Ola, ... I would agree with the unfinished part, because I don't understand your point. ... I don't understand why we would group them in this way. ... ...
Robin, I wrote this back in 2008, but I wonder what it would imply to options if we measured "value" in terms of Trust, Value, Integrity, and Reputation. ( ...
Hi Robyn, I will try to clarify a bit. :-D ... I personally engage pretty differently when I'm using real options if I'm talking to a friend, dealing with a...
... I've been digesting this over night and I really enjoyed reading it. Especially paragraph three and four. It might be a bit off (the real options) topic...
Ola, Robin, Eric I’m really enjoying the conversation. I feel it fits with something I’ve been considering recently. I do not think my thinking is the same...
Hello, I am rather new in this circle, but I was thinking yesterday too on something that occurred to me after reading your discussion. The way I see the "real...
"Thanks for the invite! I've got some other things going on tonight, but if they fall through I'd love to come see [hot new local band] at the club tonight....
Hi all, Chris Matts and I are very pleased to announce that the work on our first real options book has started. And you can help! For the impatient wanting to...
Black Scholes and the formula of doom http://ftalphaville.ft.com/blog/2012/04/30/979851/black-scholes-and-the-formula-of-doom/ Robin Dymond, CST Managing...
