Study On The Implementation Effect Of Equity Incentive In UFIDA

The development of equity incentive system has gone through many stages,and now it has entered the golden period of development.The number of companies implementing equity incentive has increased dramatically,including state-owned listed companies,private listed companies,small and medium-sized enterprises,etc.Through the equity incentive system,companies can attract and retain talents,and can further enhance their core competitiveness and comprehensive strength.The original reason of equity incentive system is to solve the principal-agent problem under the condition of information asymmetry,and to alleviate the interests of shareholders and management,so that their interests tend to be the same.In recent years,more and more companies begin to implement equity incentive,but there are some obvious problems in the implementation process,such as: from the perspective of the design of equity incentive system,the enterprise assessment index is too single,which can not really reflect the implementation effect;the assessment index is set too low,which becomes the welfare of some executives in disguise;the exercise price is relatively fixed,which is easy to be influenced by the market environmental change and other issues.At present,the relevant laws and regulations on equity incentive are constantly improving.How to optimize the equity incentive scheme and whether the incentive system is really effective are worthy of study and discussion.This paper selects UFIDA network as the research object,introduces the company's background and development process,and then explains the four times equity incentive plan and implementation of UFIDA network in detail,using comparative analysis and event research methods,from the aspects of profitability,operation,debt repayment,development ability,the company's personnel flow,scientific research investment and short-term market response comparative analysis.In addition,in order to eliminate other interference factors,the author chooses Kingdee software,a comparable company with UFIDA network in terms of company size,nature,product type and market share,as the horizontal research object in the management software market,further analyzes and compares the effect of equity incentive on UFIDA network,and finally draws the conclusion that four times of equity incentive of UFIDA network have certain effect.From the financial performance data,we can see that equity incentive has more or less promoted the company's profitability,operation and growth ability,but there is no significant positive change in terms of solvency;from the market response analysis,we can see that the market has a positive reaction to the company's implementation of equity incentive,which can be seen that the implementation of equity incentive will bring positive promotion to the company;from the perspective of non-financial analysis,it can be found that the implementation of equity incentive is conducive to retaining and attracting talents,and will increase the company's investment in R & D innovation;from the perspective of the design and implementation effect of the equity incentive plan,we find that there are deficiencies in the incentive plan implemented by the company.Based on this case,we can draw the enlightenment on the equity incentive system of listed companies in China: the scope and proportion of equity incentive objects should be appropriate;the incentive model should be formulated considering the actual situation of the company;the assessment indicators should be comprehensively and individually formulated from multiple perspectives;the exercise price should be set reasonably.