Analysis of strategic decision-making of company´s project investment based on portfolio theory

Aiming at the problem of risk evaluation and decision-making of corporation´s project investment programming scenario, the paper sets up project yield evaluation model based on projects´ investment incomes. The conception of strategic environment is introduced, and its probability distributing is used to describe the environment´s uncertainty inside and outside of corporation. Hence, taking integration yield even value m and variation sigma₀ ² which weighs risk degree as evaluation index of project investment programming scenario; optimum risk decision-making model is established using portfolio theory. At last, the paper illuminates the application approach and validity of the model through a concrete example.