Capacity investments and technology decisions under regulatory uncertainty
Description
Understanding the capacity investment and technology decisions is vital for a firm particularly due to the fact that not meeting regulatory restrictions or insufficient investments could hurt the firm in the long run. Our aim in this paper is to study the investment decisions of companies considering potential risks of regulatory uncertainties that could alter previous investment decisions. We consider a firm facing random demand and uncertainties in the design regulatory standards. We find the firm's capacity investments and technology selection decisions to mitigate potential risks of regulatory uncertainties and demand uncertainties.
Copyright Date
January 2016
Publication Date
1-1-2016
Pagination
139-143p.
DOI
10.1109/IEEM.2016.7797852
ISBN
978-1509036653||978-1509036646||978-1509036660
Publisher
IEEE Computer Society
Keywords
Capacity Investment, Regulation, Sourcing, Technology Choice
Conference
2016 IEEE International Conference on Industrial Engineering and Engineering Management (IEEM): 4-7 December, 2016,