The Influence Of Executive Incentive To The Growth Of Listed Companies

Enterprise growth represents their business potential and development prospects,and it is an important basis for stakeholders to make decisions.With the development of technological economy,technological economy leaded by science is becoming a new form of economic development.Technological innovation has gradually become one of the ways for the enterprise to seek the long-term development.Therefore,more and more enterprises begin to carry out technological innovation,and vigorously invest on technological innovation to improve the level of their independent innovation,and then to improve the enterprise growth ability in future.The growth of modern enterprises should be influenced by many factors inside and outside.The exertion of human capital value utility is a key factor affecting the growth of the enterprise,which depends on the incentive mechanism of the enterprise,especially the incentive mechanism of managers.The manager is a very important human capital to the enterprise,plays an irreplaceable role in the improvement of their growth.But under the modern enterprise system of two rights separation,there exists a problem of interest inconsistencies between the managers and the owners.As agents,the managers have the possibility to reduce the investment on technological research and development due to the pursuit of short-term interests and risk reduction,which is not conducive to the long-term development of the enterprise.So,we can only take effective incentive mechanism to closely link the interests of the managers and owners and then to make both interest functions to be consistent,to let the managers consider more long-term interests of the enterprise and conduct technological innovation activities in favor of the future development of enterprise,in order to achieve long-term development of the enterprise.China's GEM market differs from the motherboard market with representative high-tech enterprises,high-growth and high yield.It has occupied an important position in the economic development of our country and has showed great potential development.It also plays an important practical significance for the research on the growth of GEM enterprises.With the research object of enterprise growth,this paper summary the related literature from the perspective of the relations of executive incentive,technological innovation investment and enterprise growth,elaborated the human capital theory,principal-agent theory,enterprise growth theory,based on the study of executive incentive and enterprise growth on the introduction of technology innovation as an intermediary variable,further study whether technological innovation has a mediating effect between executive incentive and corporate performance,on the basis of build the research model analysis theory,we put forward the research hypothesis and empirical analysis using the method of factor and regression analysis.Finally,based on the sample of selected 2011-2014 China's GEM listed companies,this paper conduct the empirical study to test the relationship between the three,provide the corresponding countermeasures and suggestions for the improvement of enterprise growth according to the conclusion of the study,finally summarizes the research deficiency and the future research prospects.The conclusions of this paper have two.First,either the implementation of long-term equity incentive or of the short-term salary incentive is conducive to the promotion of investment on the R&D projects and the enterprise growth for the managers.Second,the increase of enterprise technological innovation investment promotes the enterprise growth,and plays an intermediary role in the effect of executive incentive on enterprise growth.Effective executive incentive can make the executives increase the proportion of R&D investment to achieve sustainable development of the enterprise.The innovation of this paper: first,with the introduction of technological innovation investment as a mediator,this paper has certain innovation to research on executive incentive effect on enterprise growth.Second,this paper gets the comprehensive score of the GEM enterprise growth in use of factor analysis method and makes the subsequent research with the above score as explanatory variable.