Research Article
Incorporating Overconfidence into Real Option Decision-Making Model of Metal Mineral Resources Mining Project
Table 5
The comparison of the evaluation results between the DCF and the proposed model.
| Method | Feature | Trigger value | Option value | Investment decision |
| Traditional DCF | Ignoring uncertainty and investment flexibility | 9.300 × 109 | — | Make investment immediately | Proposed model () | Incorporating uncertainty and investment flexibility into the model | 5.073 × 1011 | 4.980 × 1011 | Delay investment |
|
|