Investment decision-making method of Eucalyptus plantation based on real options theory

Aiming at Eucalyptus plantation project with long-term, uncertainty, stage and other characteristics, this article using option pricing theory, made up the defect that the traditional investment decision-making method with the net cash flow as the core can not evaluate the uncertainty value of the project. The study showed that, relative to traditional cash-flow theory, the uncertainty value of the eucalyptus plantation project was fully reflected by the option pricing theory which can reflect the project´s true objective value better.