Research On The Factors Selection And Effect Of Restrictive Stock Incentive Plan

The current market situation for equity incentive research is that the number of listed companies that implemented equity incentives from 2006 to 2015 has increased from 44 to more than 500.Restricted stocks and stock options are two main forms of equity incentives.Since 2012,listed companies have used restricted stocks more frequently than stock options.The core content of this paper's research is about the design research of restrictive stock incentive plan including element selection and effect research in order to pursue better incentive effects.There have been empirical studies at home and abroad on the effects of innovation incentives including equity incentives,the effects of equity incentive plan changes,and the effects of equity incentives(mainly internal and external factors).In the study of the effects of equity incentives,Zattoni(2009)conducted an empirical study of the different effects of the different features of the stock option plan.The results showed that the factor that had the most positive impact on the incentive effect was the incentive period;Xu Ning,Xu Xiangyi(2010 The research shows that the better implementation effect of the incentive plan is related to the incentive period and performance conditions.If the incentive period is relatively long or the performance conditions are more stringent,the performance of the listed company will be better.In addition,many scholars focus on the comparative analysis of stock options and restricted stocks.At present,there are few studies on restricted stocks in specific ways of stock incentives,and key factors in the restricted stock contract model such as stock sources,incentives Targets,exercise prices,grants,incentive terms,and incentives all have a decisive influence on the effect of restrictive stocks.Therefore,the research question in this paper is the influence of the choice of the key elements of the restricted stock incentive plan on the implementation effect.Based on the theory of principal-agent theory and incentive theory and equity incentive contract theory,this paper conducts a comprehensive and classified empirical analysis of listed company's restricted stock incentive programs from the six elements of restricted stock incentive programs,including market response and performance.The effect is twofold.Finally,the results of two empirical studies are integrated to evaluate the status quo of listed company's restricted stock incentives and give recommendations.The research hypotheses and research results of this paper have the following points:(1)Under the background of China's capital market,the effect of restrictive stocks is positive;(2)The more effective key elements of the restricted stock incentive plan are the repurchase of stocks,the granting of core technical personnel,the low exercise price,the large number of grants,the long term,and the strict conditions;(3)The key elements of a restricted stock are ranked as the result of the incentive object,stock source,incentive condition,incentive term,issue price,and grant quantity.In recent years,China has sought to establish a long-term incentive system.First,it should learn the incentive mechanism of mature international markets,summarize and summarize the practical results of various countries' markets,and combine the characteristics of China's capital markets,including the incomplete validity and the complex corporate governance structure of listed companies.Restricted stock incentive programs that are in line with China's national conditions,in order to increase the incentive effect of restricted stocks,and to standardize the initial system of equity incentives in China.The study of the key elements and effects of the restricted stock incentive plan has certain guiding significance for the design of the company's restricted stock plan.