The Study On The Effect Of Equity Incentive Of Listed Companies In China

Equity incentive system was born in western countries in the 1950 s.As a highly innovative measure to solve the principal-agent problem faced by modern enterprises,it plays an important role in solving the conflicts of interest faced by operators and owners.After nearly 70 years of development,western countries have been in the mature stage of implementing equity incentive.Due to the difference between the historical and economic development environment of China and the introduction of equity incentive system in the 1990 s,China has only developed for more than 20 years and is now in the stage of promotion and gradual maturity.In more than 20 years of development,China's laws and policy support to implement equity incentive measures to constantly improve,largely stimulated the enthusiasm of the implementation of equity incentive of listed companies,puts forward the implementation of equity incentive of listed companies in 2006 for 39,2017 to 404,although the implementation of equity incentive of the surge in the number of listed companies,but the effect of equity incentive in our country how to become the focus of attention from all walks of life,this paper study on the issue.First,equity incentive in collecting and reading a large number of relevant literature and combing on the basis of the concept,theory,to our country the status quo of the implementation of equity incentive from development course,the overall size and been successful,market distribution and incentive model,amount,term and so on six aspects carries on the analysis,found that since 2006 China's equity incentive perfecting relevant policies and regulations;The overall scale and success rate of the implementation of equity incentive basically show a fluctuating upward trend;Compared with Shanghai a-share market and Shenzhen main board market,the proportion of small and medium-sized board and gem implementing equity incentive for listed companies has absolute proportion advantage.Since 2013,the number of stock incentive plans with restricted stock as the incentive model for listed companies in China has exceeded that with stock options as the incentive model.Generally speaking,the incentive amount set in the equity incentive plan of China's listed companies is between 1% and 3%,and the incentive period is usually 4 years.Secondly,based on the analysis of the status quo,this paper empirically test the listed company equity incentive effect,because in this paper,we study the long-term effect of equity incentive for the implementation of equity incentive of sample companies to differentiate four groups,from 2006 to 2017 were used respectively to succeed the implementation of equity incentive data sample firms equity incentive implementation effect on the performance of the company a year later,In addition,the sample companies that implemented equity ince ntive from 2006 to 2016,2006 to 2015 and 2006 to 2014 were used as the research samples of the effects after the implementation of equity incentive for two years,three years and four years.The above four groups of samples were used for comparative analysis to investigate the medium and long-term effects of equity incentive of listed companies in China.Choice in terms of equity incentive effect assessment of net assets yield as the dependent variable indicators,choose equity incentive schemes in differe nt listed companies at the same time,incentive mode of different lines,time limit and so on three incentive factors as independent variables,and reflect the features of the company's total assets turnover ratio,asset-liability ratio,operating income growth indicators such as control variable,in the above variables based on descriptive and correlation analysis were used to construct multiple regression model.From the regression results of the above four groups of samples,this paper believes that the equity incentive implemented by Chinese listed companies in the medium and long term has a very limited effect on the improvement of the business performance of listed companies,that is,the effect of equity incentive in the medium and long term is smal.Finally,this paper argues that the main reasons for the small effect of equity incentive in China's listed companies are the weak market foundation of the implementation of equity incentive.The current equity incentive scheme design does not conform to the reality;Equity incentive related laws and regulations are not perfect;In view of the above problems,the following suggestions are put forward: to improve the internal and external operating mechanism of equity incentive of listed companies in China;Optimize the design of equity incentive scheme;Improve relevant laws and regulations,for the follow-up implementation of equity incentive plans for listed companies to provide reference and reference.