Research On Stock Option Incentive Performance Of Renhe Pharmaceutical Co.

Since 1980 s the United States implement stock option incentives,equity incentive has gradually developed into the important path of the enterprise to solve principal-agent conflict.Vanke,leading enterprises of real estate in our country,take the lead in the implementation of equity incentive in the 1990 s.Then,with “the listed company equity incentive management measure(trial)"promulgated in 2006,gradually open the prelude to large-scale equity incentives in our country.And stock option incentive as one of the important incentive mode,the number of listed companies that implement stock option are increasing persistently,and option incentive scale are also rising.The pharmaceutical industry has many high-tech enterprises,with good growth and development potential,thus pharmaceutical enterprise is more and more tending to implement stock option,in order to incentive agent to enhance company performance.But for the implementation of stock option incentive effect,achieve enterprise arouse the enthusiasm of managers to work on time,to maximize shareholder value,realize the win-win purpose?Or increase the management risk preference,improve the instability of the company's business,and make negative effects on the company's performance?Need further research.This paper uses the case method,renhe pharmaceutical co.as the research object,based on the theory of stock option incentive.First,the paper analyzes the stock option incentive implementation status of the pharmaceutical industry and its characteristic.Then,it uses the traditional financial indicators,EVA and non-financial indicators to evaluate the performance of renhe pharmaceutical before and after the stock options implementation multidimensional and comprehensively.Through the analysis of the longitudinal effectiveness of renhe pharmaceutical business performance and the transverse effectiveness analysis of Renhe pharmaceutical co.and the unimplemented of Guilin sanjin and Jiangzhong pharmaceutical co from 2009 to 2016 to obtain a method research conclusion evaluation with more than double views and methods for evaluating the implementation of the stock option incentive effect.Through the study found that the stock option incentive not play a significant role in promoting of renhe pharmaceutical long-term positive development.At the same time,through the analysis of the influence factors of incentive plan design,it found theproblems such as elements object fixed,single exercise conditions,exercise price is not reasonable in the incentive contract are the main reason of failure.Lastly put forward rational suggestions that combined with industry development trend and the characteristics of renhe pharmaceutical enterprises.