Research On The Impact Of Vasen’s Equity Incentive On The Innovation Ability Of Enterprises

Innovation drives the continuous growth of the national economy and is also the core of enterprise competitiveness,and in recent years,more and more enterprises have begun to realize the importance of innovation ability for enterprise development.In terms of interests,there are differences between enterprise controllers and managers,so many enterprises have problems when it comes to principal-agenting.There is a lack of effective incentives for managers and R&D personnel,and thus the enthusiasm for innovation activities is poor.In order to explore the design focus of equity incentive schemes of enterprises in China’s building materials industry and the mechanism and effect between them and enterprises’ innovation capabilities,this paper selects VASEN Materials Co.,Ltd.(hereinafter referred to as VASEN),an enterprise belonging to the building materials industry,as a case study object,compares and analyzes the three-phase equity incentive plans launched in 2011,2016 and 2020,and focuses on the correlation between equity incentives and enterprise innovation capabilities.By establishing an innovation ability evaluation index system,this paper comprehensively compares and analyzes the following three index values before and after the implementation of the equity incentive plan: innovation input,innovation output and innovation income.At the same time,the data envelopment analysis method is also used to study the intrinsic relationship between equity incentive schemes and enterprise innovation capabilities at a deeper level.Through equity incentives,VASEN has not only enhanced the attention of executives to innovation and R&D,but also played a positive role in promoting the R&D and output quality of the company’s core technical employees,and the company’s innovation ability has been significantly improved.However,there are still many shortcomings in the design of equity incentive schemes,such as low grant prices and obvious incentive purposes.Therefore,in technology-oriented enterprises,we should focus on motivating core employees who directly contribute to enterprise innovation,take it as the key to motivate employees,set up equity incentive plans according to the actual characteristics of enterprises,reasonably design grant prices,and provide impetus for the improvement of enterprise innovation capabilities.