| Investment is the basic prerequisite for the survival and development of enterprises.Effective investment can promote the development of enterprises and obtain benefits,while inefficient or ineffective investment can bring risks to enterprises.Therefore,the issue of efficiency is crucial.From the macro level,the continuous changes in the securities market make it impossible for enterprises to maintain a stable capital structure,which also brings many uncertain factors while expanding financing channels;From the micro level,principal-agent issues and information asymmetry are also important factors that affect investment efficiency.The salary incentive system can effectively alleviate the problem of low investment efficiency caused by the above problems,making the interests between shareholders and management more convergent,thereby improving investment efficiency.However,the existing compensation system in China links compensation to performance,leading to excessive internal compensation gaps among senior executives,and even the phenomenon of "skyrocketing compensation".Therefore,the rationality of compensation design is crucial to the interests of enterprises: a reasonable internal compensation gap among senior executives can effectively improve the investment efficiency of enterprise executives,while excessive gaps will have a negative impact on the investment efficiency of senior executives.Through the empirical analysis of the relevant data of the automobile manufacturing industry from 2010 to 2021,it can be seen that there is an inverted "U" relationship between the intra-executive pay gap and investment efficiency,and the intra-executive pay gap has a significant impact on underinvestment.On this basis,BYD Co.,Ltd.is selected as a typical case to study the impact of the company’s internal executive pay gap on investment efficiency,and verify the above empirical conclusions.Therefore,this paper believes that there is an important critical value between the internal salary gap of executives and investment efficiency,and a reasonable salary gap can improve the enthusiasm of executives and thus improve investment efficiency,but after the gap exceeds the critical value,the resulting unfair psychology will promote the improvement of inefficient investment,and the internal salary gap of executives should be reasonably set up,strengthen the supervision role of salary setting inside and outside the enterprise,and assist enterprises to formulate a sound salary system and improve the investment efficiency of enterprises. |
PDF Full Text Request