Research On Performance Of Equity Incentive In NAURA

In recent years,more and more listed companies have implemented equity incentives.On the one hand,equity incentives can help enterprises improve their governance capabilities and performance,stabilize their market position,and on the other hand,they can help enterprises attract and maintain core talents,improve innovation capabilities,and so on.In order to better apply and develop equity incentive mechanisms,China has also continuously improved its equity incentive policies.However,the equity incentive policies of state-owned enterprises are relatively strict,and the implementation effects of equity incentives vary.NAURA implemented two phases of equity incentives in 2018 and 2019,and studied the impact of equity incentives on its performance.It is necessary to improve the equity incentive plan of NAURA.This article takes the equity incentive implemented by NAURA as the research object,analyzes the performance results of its equity incentive using literature research,comparative analysis,and other methods,and proposes improvement suggestions.Firstly,this article reviews the research results both domestically and internationally,introducing the concepts and theoretical foundations of equity incentives;Secondly,the basic situation of NAURA Company was introduced,and the reasons for implementing equity incentives were explained.Based on the specific content and implementation of the two equity incentive plans,a comparison was made between the two implementation plans;Once again,through financial performance analysis and non-financial performance analysis,this study analyzes the effectiveness of equity incentives implemented by NAURA,analyzes its trend of change,and compares it with the average of the benchmark company to analyze the changes that occur after implementing equity incentives and compare them with the average of the benchmark company to determine the development and changes in the same industry after implementing equity incentives.During the implementation of the two equity incentive plans,the profitability and operational ability were significantly enhanced,and the performance of growth ability was also good.However,the performance of its debt repayment ability was poor,posing significant risks.In addition,equity incentives have improved employee structure and greatly enhanced R&D and innovation capabilities for non-financial performance of companies.In summary,by analyzing the performance results of equity incentives in NAURA,it is found that while equity incentives have a promoting effect on the company,there are shortcomings such as single assessment indicators,neglect of enterprise debt repayment management,and weak enterprise supervision.Based on these shortcomings,improvement suggestions such as scientifically setting assessment indicators,improving debt management,and strengthening enterprise supervision and management are proposed.