Research On The Implementation Effect And Optimization Of Guangzhou Automobile Group Equity Incentive

In the United States 1950 s,In order to solve the problem of heavy income tax burden in enterprise management,the equity incentive plan has come into view.China’s equity incentive plan is late.It originally appeared in the 1990 s.Its primary aim was to alleviate the principal-agent relationship of managers and shareholders,strengthen the close relationship between technical backbone and enterprises,and further contribute to the comprehensive strength of the company.Examine the implementation effect of the equity incentive scheme,this paper selects Guangzhou Automobile Group to analyze its two equity incentive plans.Firstly,the automobile industry is an indispensable part of China’s national economy,The State released guidelines and policies to further the mixed ownership reform in 2018.Guangzhou Automobile Group plays a dual role of state-owned enterprise and industry leader.The importance of implementing equity incentives for staff stock ownership and internal motivation.Secondly,the core objective of the implementation of equity incentives is to address how to maintain talents.Guangzhou Automobile Group is an enterprise with technology as its core,core talents and outstanding executives to promote the company’s growth.Therefore,This paper first presents the theoretical basis,then provides a theoretical basis for further analysis.then analyzes the motivation of equity incentive,and use appropriate indicators to analyze changes in the performance of group companies.It found that the business’ s ability to operate,profitability and growth had increased,although the improvement of debt paying ability is not significant.In total,the first incentive plan had a positive motivational effect.In contrast,the second phase of the plan had a poor incentive effect.In addition,the two plans have improved the level of non-financial indicators of enterprises to a certain extent.Finally,by analyzing the incentive plan,this paper concludes that there are deficiencies in it and suggests some improvements.