A Case Study Of Equity Incentive Effect

As an important incentive for enterprises,equity incentive has been fully utilized in western countries.In order to adapt to the actual situation of Chinese enterprises,China has developed and applied it on the basis of the mature experience of the West.Reasonable equity incentive scheme can bring good economic benefits to enterprises.However,due to the late introduction of equity incentive in China,there are still many problems in the implementation of equity incentive in China.Based on the review of relevant research costs at home and abroad,this paper applies equity incentive theory,adopts normative analysis,case analysis and other research methods,draws lessons from international experience,and combines with the actual situation of our country,and takes Beijing Bishuiyuan Science and Technology Co.,Ltd.(hereinafter referred to as "Bishuiyuan")as the case study object to Chinese enterprises.Equity incentive system research,its research content mainly includes the following three parts: the first part of the equity incentive related to the basic theoretical issues are introduced;the second part takes Bishuiyuan Company as an example,its equity incentive effect is studied in detail;the third part is based on case analysis,on the basis of Bishuiyuan.The company's equity incentive scheme design and the enterprise's internal and external environment to make specific recommendations to help enterprises achieve the best results of equity incentive.This paper draws the following conclusions: from the financial point of view,the establishment of the equity incentive exercise conditions of Bishuiyuan has certain limitations,although it promotes the development of enterprises,but the incentive effect for solvency and profitability is not obvious,enterprises should consider other financial capability indicators.From the non-financial point of view,Bishuiyuan equity incentive has achieved some results in stabilizing R&D personnel,R&D core team and enterprise executives,but it has no obvious attraction to senior managers of enterprises.Enterpriseincentives should take into account all key personnel.Through the case study of the equity incentive scheme of Bishuiyuan Company,this paper can provide certain reference for the design and evaluation of the equity incentive scheme of environmental protection high-tech enterprises.