Abstract

With the globalization of world economy, China's electronic industry market uncertainty also increases. Real option theory is of great help for electronics industry investment risks and uncertainties in question. Since the 1990s, the real option theory in the United States began to rise. This paper first introduces real option theory and its development are briefly reviewed, then using this theory to stray into XiangCheng electronic (Dongguan) Co., LTD. ("PCB division") investment made analysis, use binary tree model of real option theory solve value of XiangCheng "PCB division", compare its results with net present value, And real option in the evaluation of project of superiority, we can see the real option theory by analyzing more reasonable. Then the new options investment theory that is suitable under uncertainty is introduced into the domestic electronic industry.

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