Circumstances

Mean

Variance

Dominance

λ = 0.5

λ = 1.0

λ = 1.5

1) Lower risk (a = 0.9 & b = 1.1)

N = 5 (launch stage)

1) −Pb−period

1) +Growth

1) −Growth

1) −Growth

1) −Growth

1) −Growth

2) +IRR

2) –Pb-period

2) –Pb-period

2) –Pb-period

2) –Pb-period

3) −Growth

3) +IRR

N = 10 (growth stage)

1) +IRR

1) +Growth

1) −Growth

1) −Growth

1) −Growth

1) −Growth

2) −Growth

2) +IRR

3) –Pb-period

2) Higher risk (a = 0.8 & b = 1.2)

N = 5 (launch stage)

1) −Pb−period

1) +Growth

1) −Growth

1) −Growth

1) −Growth

1) −Growth

2). +IRR

2) –Pb-period

2) –Pb-period

3) −Growth

N = 10 (growth stage)

1) +IRR

1. +Growth

1) −Growth

1) −Growth

1) −Growth

1) −Growth

2) −Growth

2) +IRR

3) –Pb-period