Application of the binomial switch option in a decision analysis for an art exhibition

This study investigates the feasibility of the Picture Book Kingdom Exhibition featuring works by the “Magician of Colour” Květa Pacovská. Net present value was introduced into a switch options binomial valuation model to analyse the feasibility and the effect of project value on city exhibition investment. A mathematical model was also applied to construct investment strategies in order to obtain the greatest economic value and provide curators with a reference for the future selection of cities for exhibitions.