Research On The Impact Of Management Incentive On Financial Performance Of A-share Agricultural Listed Companies

With the gradual maturity of modern company ownership and management,many enterprises have incorporated management incentive policy into the internal control system of the company as an important management system to manage.In recent years,the management incentive problem has been widely concerned,because there has been interest differentiation between shareholders and managers,the contradiction between them is called "principal-agent" problem.How to alleviate internal contradictions through incentive mechanism and enhance enterprise value has become the focus of scholars at home and abroad.At present,the incentive policy of management has been standardized,but it is particularly important to further improve the construction of incentive system of management in view of the market changes and the deepening contradiction between principal and agent.In this paper,40 agricultural listed companies are selected as samples and the data from 2018 to 2020 are selected to study the impact of agricultural enterprise management incentives on corporate financial performance in A-share listed companies.First of all,this paper deeply studies the relationship between management incentive and enterprise performance through literature analysis.Secondly,the management incentive related theories and agricultural listed companies management incentive implementation are discussed.Finally,empirical analysis is used to study the effect of compensation incentive and equity incentive on corporate financial performance.With reference to the principle of multiple regression analysis,descriptive analysis and correlation analysis were carried out on the collected data,and then multiple regression model was constructed and tested.According to the research results,the following conclusions were obtained:(1)Compensation incentives for the management of agricultural listed companies can significantly improve the level of corporate financial performance,and the two are positively correlated.(2)Equity incentive for management of agricultural listed companies can significantly improve the level of corporate financial performance,and the correlation is slightly greater than that of compensation incentive.(3)The impact of salary incentive on the performance of listed agricultural companies is less than that of equity incentive.The main reason is that modern enterprise managers are not satisfied with short-term cash income and prefer long-term incentive mechanism to obtain permanent security.However,both of them play an important role as measures to alleviate principal-agent problems and improve enterprise performance.Finally,based on the above research conclusions,some specific suggestions are given to agricultural listed companies,listed companies in other industries and market regulators in the construction of management system.