Strategic Investment Decision-Making under Uncertainty
(2025) BUSN79 20251Department of Business Administration
- Abstract
- Purpose: The purpose of this thesis is to investigate how publicly listed real estate companies in Sweden balance formal pre-decision controls with managerial judgement.
Methodology: The research approach of this thesis is of a qualitative and exploratory nature. At first, a literature review was conducted in the field. The empirical data was primarily collected through semi-structured interviews with companies and individuals deeply involved in strategic investment decision-making. The empirical findings were subsequently analyzed in relation to the theory to address the research question.
Theoretical perspectives: The theory delves into the theoretical perspectives of strategic investment decisions, the decision-making process,... (More) - Purpose: The purpose of this thesis is to investigate how publicly listed real estate companies in Sweden balance formal pre-decision controls with managerial judgement.
Methodology: The research approach of this thesis is of a qualitative and exploratory nature. At first, a literature review was conducted in the field. The empirical data was primarily collected through semi-structured interviews with companies and individuals deeply involved in strategic investment decision-making. The empirical findings were subsequently analyzed in relation to the theory to address the research question.
Theoretical perspectives: The theory delves into the theoretical perspectives of strategic investment decisions, the decision-making process, pre-decision controls, rationality, managerial judgement and heuristics, contextual factors, and a literature review on real estate and uncertainty.
Empirical foundation: The qualitative data for this thesis was gathered through semi-structured interviews with seven individuals involved in strategic investment decision-making.
Conclusions: While firms commonly use rational tools such as financial evaluations and strategic alignment, most adopt a flexible, context-sensitive approach shaped by bounded rationality. The thesis finds no consistent relationship between the company's reliance between rationality and managerial judgement. Moreover, it provides no evidence that contextual factors
such as firm size and financial leverage account for these differences. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/9203607
- author
- Hedin, Melvin LU and Gunnarsson, Olle LU
- supervisor
- organization
- alternative title
- The interplay between pre-decision controls, rationality, managerial judgement, & contextual factors in the Swedish real estate sector
- course
- BUSN79 20251
- year
- 2025
- type
- H1 - Master's Degree (One Year)
- subject
- keywords
- Five key words: Strategic Investment Decisions, Managerial Judgement, Rationality, Decision-Making Process, Pre-decision controls
- language
- English
- id
- 9203607
- date added to LUP
- 2025-06-26 11:11:42
- date last changed
- 2025-06-26 11:11:42
@misc{9203607,
abstract = {{Purpose: The purpose of this thesis is to investigate how publicly listed real estate companies in Sweden balance formal pre-decision controls with managerial judgement.
Methodology: The research approach of this thesis is of a qualitative and exploratory nature. At first, a literature review was conducted in the field. The empirical data was primarily collected through semi-structured interviews with companies and individuals deeply involved in strategic investment decision-making. The empirical findings were subsequently analyzed in relation to the theory to address the research question.
Theoretical perspectives: The theory delves into the theoretical perspectives of strategic investment decisions, the decision-making process, pre-decision controls, rationality, managerial judgement and heuristics, contextual factors, and a literature review on real estate and uncertainty.
Empirical foundation: The qualitative data for this thesis was gathered through semi-structured interviews with seven individuals involved in strategic investment decision-making.
Conclusions: While firms commonly use rational tools such as financial evaluations and strategic alignment, most adopt a flexible, context-sensitive approach shaped by bounded rationality. The thesis finds no consistent relationship between the company's reliance between rationality and managerial judgement. Moreover, it provides no evidence that contextual factors
such as firm size and financial leverage account for these differences.}},
author = {{Hedin, Melvin and Gunnarsson, Olle}},
language = {{eng}},
note = {{Student Paper}},
title = {{Strategic Investment Decision-Making under Uncertainty}},
year = {{2025}},
}