Motivation And Effect Of The Implementation Of Suning Commerce's Equity Incentive

Equity incentive as a long-term incentive mechanism,which play a better role in improving corporate performance and stable core talent.With the gradual improvement of China's capital market,more and more listed companies choose the way of equity incentive to encourage executives,core technical personnel and employees who have important contributions to the enterprise,which expect to improve the company's performance,improve corporate governance structure and reduce the cost of human capital.But the implementation of equity incentive is not plain sailing,in the exploring of listed companies in our country,there are a lot of the implementation of equity incentive of the enterprise in the absence of a fully understand the internal and external environment and on the basis of investigation and study,blindly use is not suitable for the development of the company equity incentive plan,leading to effect is not ideal.This paper chooses the retail industry giant Suning Commerce as the research object,take the method of case analysis.Firstly it introduced the Suning Commerce of the Internet transformation,as well as in the transformation before and after the implementation of Suning Commerce equity incentive.Secondly,according to the strategic transformation of Suning Commerce,this paper analyzes the motivations of the two-way equity incentive,and analyzes the effect of the equity incentive incentive,which is mainly from the economic effect,the market effect and the employee turnover rate.The effect of the implementation of the evaluation,obtained two equity incentive programs did not solve the high turnover rate of employee and long-term incentive effect is not obvious.Finally,the reasons for the ineffective implementation of the two equity incentive are studied,mainly from the contract elements of the equity incentive scheme,the external macro environment and the internal governance environment of the company,and the reasons for the ineffective equity incentive are studied from these three aspects.In the process of reason analysis,the contractual elements of equity incentive scheme are optimized,which can be used for the reference of other enterprises and the design of equity incentive scheme of Suning Commerce.This chapter is divided into seven chapters,the first chapter is the introduction,and the research background and significance are put forward.The second chapter is the related concept of equity incentive,and the related literature is reviewed,and the theoretical background of this paper is put forward.The fifth chapter is the analysis and evaluation of the effect of the implementation of the equity incentive;the sixth chapter analyzes the reasons for the poor effect of the equity incentive;the other is the analysis of the incentive effect of the equity incentive;The seventh chapter is the conclusion of the study and the optimization of the contractual elements of the equity incentive scheme,as well as the shortcomings of this paper and the prospect of the future.