ABSTRACT
In this chapter, we provide a real options perspective on nanotechnology. We review nanotechnology and its evolutionary progress and, based on real options theory, present a framework for understanding and valuing R&D investment in nanotechnology. We discuss the opportunities and challenges arising from nanotechnology investments from the perspective of real options. More specifically, we attempt to provide a real options-based conceptual framework for firms and governments that strengthens the case for investing in nanotechnology R&D.
