The Case Study On The Equity Incentives Effectiveness Of QDHE

In the modem company system,in order to improve the professional level of corporate governance,the management rights and ownership are separated,but there are also differences between managers and shareholders.The original intention of the equity incentive plan is to solve the agency problem and build a community of interests.The biggest characteristic of equity incentives is to promote the interests of owners and operators by granting a certain proportion of equity to the company’s management and core key personnel.This mechanism encourages the core employees of the company and creates greater value for the company.This paper chooses QDHE as a case study,mainly considering that QDHE chooses stock option-based incentives as the mainstream representative of equity incentives in listed companies in China.The company’s performance is improved and the market has also responded positively.This shows that QDHE The equity incentives have played a good incentive.QDHE is a private enterprise with rich experience in many countries.It is a typical enterprise that implements equity incentives in China’s home appliance industry.Its research results are worth learning from the same type of enterprises.Summarize the places worthy of reference in QDHE equity incentives,and also point out its existing problems,and provide reference for the improvement of the equity incentive system in China’s household appliance industry.This paper takes QDHE as the research object.The research method mainly uses case analysis.The focus is on the analysis of the specific implementation effect of the fourth-phase equity incentive plan.By comparing the company’s performance changes before and after the implementation of equity incentives,analyzing the effectiveness of equity incentives,and asking specific questions.And provide solutions.From a financial perspective,QDHE’s profitability,operational capability,solvency,growth and growth capabilities,etc.,are analyzed longitudinally.At the same time,QDHE’s stock price changes,employee liquidity,and core technical employee behavior are analyzed longitudinally from a non-financial perspective.At the same time,the EVA value and the investment behavior of the executives are compared horizontally.It is concluded that QDHE has indeed increased the value of the company and realized the growth of employees and the company.However,it is difficult for new employees to obtain incentives.The evaluation indicators are single.The intermal and external environment of the company is still Not perfect enough.Through case analysis,it is concluded that QDHE has a reasonable plan for equity incentives.It is necessary to set more comprehensive performance appraisal standards,appropriately expand the scope of equity incentives,rationalize exercise standards and increase incentives for executives,and improve the internal system of the company.The role of the board of supervisors and independent directors,as well as the market-oriented development of the external environment,improve the operational efficiency of Chinars capital market,and give full play to the effectiveness of the company’s equity incentives.