A Study On The Effect Of Executive Compensation On Corporate Performance In Expressway Listed Companies

Under the background of low operating efficiency,fixed operating period and limited scale of Expressway listed companies,based on the current situation of Expressway listed companies,this paper analyzes the current situation of executive compensation and corporate performance of Expressway listed companies from the perspective of principal-agent theory,management power theory,human capital theory and compensation incentive theory on the basis of combing literature,found problems.This paper constructs an index evaluation system,focusing on the impact of executive compensation on corporate performance from three aspects of executive monetary compensation,executive compensation gap and executive on-the-job consumption,and puts forward countermeasures and suggestions for the problems and causes in the executive compensation system of Expressway listed companies,with a view to improving the compensation system and promoting corporate performance.First of all,from the particularity of Expressway listed companies,this paper analyzes the current situation of executive compensation and corporate performance of Expressway listed companies.It is found that there are some problems in Expressway listed companies,such as the lack of external competition in monetary compensation level,the lack of effective supervision in implicit compensation,the unreasonable structure and single form of executive compensation,performance evaluation system is not comprehensive,the lack of internal supervision and external constraints in executive compensation,and the low performance of enterprises.At the same time,from the three aspects of monetary compensation level,compensation gap and on-the-job consumption of executives,this paper makes a qualitative analysis about executive compensation,company performance,and the relationship between the two of Expressway listed companies,and puts forward the research hypothesis of this paper.On this basis,the paper constructs the index evaluation system of executive compensation and enterprise performance of Expressway listed companies.Using empirical analysis method,17 Expressway listed companies in 2010-2018 are selected as samples,andfactor analysis method is used to measure the comprehensive performance of Expressway listed companies.Using the fixed effect panel model,this paper studies the relationship between executive compensation and corporate performance.The results show that: there is a significant positive correlation between monetary compensation level and corporate performance;executive compensation gap is significantly positively correlated with corporate performance;executive consumption on the job is significantly negatively correlated with corporate performance.Finally,based on the above research conclusion,the paper puts forward the countermeasures and suggestions to improve the executive compensation incentive system of Expressway listed companies and improve the performance of enterprises from three aspects:the design of executive compensation system,the internal governance of enterprises and the external supervision of the government.