Research On The Implementation Effect Of Equity Incentive In CATL

Since the owners and managers of listed companies pursue different goals,they are prone to conflicts of interest,resulting in the principal-agent problem.In order to solve this problem,equity incentive plan came into being.Equity incentive first appeared in the United States in the 1950 s,and has been gradually mature and achieved remarkable results in developed countries.Under the steady and normative development of our capital market,some listed companies have introduced equity incentive.However,due to the late start of equity incentive in our country,the complete system has not yet been formed,so it needs to be perfected in the design and implementation process of the plan.In January 2006,China Securities Regulatory Commission promulgated the Measures for the Management of Equity Incentive Plans of Listed Companies.Since then,other relevant equity incentive policies have also begun to be issued,and the equity incentive system has been gradually standardized.The number of listed enterprises engaging in equity incentive continues to rise,and their exercise conditions and incentive forms are improving constantly.As the leader of the new energy industry,CATL has a strong influence.By the first half of 2022,CATL has carried out four equity incentives in the four years since its listing.Therefore,this paper chooses CATL as the research object,analyzes the effect of its implementation of equity incentive,explores the shortcomings and puts forward specific suggestions.This paper first introduces the research status and related theories of equity incentive.Secondly,it describes the ownership structure and operating conditions of CATL,and expounds the motivation,specific content and implementation progress of the equity incentive.Then we choose the index analysis method and EVA analysis method to analyze the financial effect of the stock incentive in the CATL.And combined with CATL equity incentive in non-financial aspects of the effect of analysis,including long-term and short-term market response,research ability,personnel stability and agency cost changes.It can be concluded that the implementation of the equity incentive plan has played a positive role in the improvement of CATL’s performance level in the era,which is conducive to the long-term stable development of the enterprise.At last,the paper deeply analyzes the irrationali ty existing in the implementation of equity incentive in CATL,including insufficient incentive,weak incentive of indicators,small incentive scope and other problems,and puts forward suggestions on setting more strict assessment indicators,balancing the proportion of different incentive objects,appropriately increasing incentive intensity and expanding incentive scope.It is expected to provide reference direction for CATL and other enterprises in the power battery industry to implement equity incentive plans in the future.