Technical economic process offers the frame work for undertaking complex valuation to guide strategic decision making and to refine strategy. The method integrates net present value and real option analysis to extrapolate the value of an innovation Particularly when you are uncertain about market involved.
Techno-economic assessment in principle is a cost-benefit comparison using different methods.
- Evaluate the economic feasibility of a specific project
- Investigate cash flows (e.g. financing problems) over the lifetime
- Evaluate the likelihood of different technology scales and applications
- Compare the economic quality of different technology applications providing the same service