【正文】
uation. This is a retrospection case of developing and marketing a drug using Copeland’s quadranomial approach, adjusted with game theory when potential petitor was considered together.Structure of my paperl 1.Using real options approach to value a project of developing and marketing a drug (A retrospection)Case solution (4 steps in all)l Step 1: Figuring out main uncertainties l Five stages Case solution (4 steps in all)l Step 1: Figuring out main uncertaintiesl Two main uncertainties: 1. technological uncertainties and 2. market uncertainties, which evolve simultaneously through time. Case solution (4 steps in all)l Step 2: Calculating the final nodes cashinflows and the traditional NPV l l l NPV=953 萬(wàn)元Case solution (4 steps in all)l Step 3: Adding real options analysis, using game theory to assess the options’ valuel ROA value = 萬(wàn)元Case solution (4 steps in all)l Step 4