Executive summary
A method for appraising responses to a competitor move and building an investment case leadership can challenge before it commits margin.
What is inside
What the options appraisal covers
The asset walks an appraisal lead through framing the response decision, building a longlist and shortlist of response options, modeling avoided loss and response cost strictly from the frozen assumption register, scoring readiness, reversibility, and market signaling, running sensitivities and switching values, and writing the investment paper with explicit conditions and stage gates. It ends with a completed options matrix, a cost-benefit workbook, and a sensitivity table ready for decision.
- Scope: comparing realistic responses to a competitor move against a costed status quo
- Building every option's economics from the frozen assumption register, with no untraceable numbers
- A standard response set spanning holding position, blanket matching, targeted defense, non-price counter-offers, and counter-attack
- Financial measures and non-financial scoring combined in one comparable matrix
- Sensitivities and switching values that show when the recommended response stops being right
- A challenge session that stress-tests the paper before leadership decides
- A decision-ready investment paper with conditions, triggers, and staged funding