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Quantitative Finance · शब्दावली

Best alternative to a negotiated agreement, reservation value क्या है?

अन्य नाम: best alternative to a negotiated agreement · reservation value

Definition 23.1 The Desk and the Firm · अध्याय 23 — Commercial Relationships with Venues, Brokers and Vendors

A party’s best alternative to a negotiated agreement is what it will do if this negotiation fails: another venue, broker or vendor, building the capability itself, or doing without. Its reservation value is the value of that alternative: the worst terms it should accept.

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