This
example is from a market research for a power plant
provider. |
He
wants to estimate the market potential for new plants
in a developing market with uncertain base load
prices for electricity. |
One
of his questions is regarding the investment decision
from his customers point of view, so he wants to
know the market conditions under which the investors
would invest. |
He
formulates his question: which would be the minimum
price to ensure a Internal Rate of Return of 25%? |
Additionally
he wants to have this information in a sensitivity
analysis for different operating hours per year
(5000-8000). |
This is a typical question to be solved by Spemann
PG-ROI, as the following steps will show.
|