A DECISION-SUPPORT MODEL FOR INVESTMENT DECISIONS IN NEW VENTURES

The decision to invest in new ventures is characterized by incomplete information, where some measures of firm performance are quantitative, while some others are substituted by qualitative indicators. Qualitat ive attributes are defined in a relative sense. We develop a decision support model for identifying successful new ventures. The model integ rates quantitative and qualitative variables through the use of the An alytic Hierarchy Process (AHP). The decision model gains in predictive accuracy through the use of qualitative attributes, and AHP imparts r obustness to the qualitative measures.