Research On The Implementation Effect Of EGOVA Equity Incentives

With the development of A-share market,innovation in science and technology has gradually become an important driving force,and equity incentive which is a way to motivate talents and optimize governance,the situation in A-share market is improving in general and gradually showing the trend of normalization.The country is paying more and more attention to equity incentive and the related system is further improved.At the same time,technology companies’ demand for equity incentive is also deepening.eGOVA,the leading company in the smart city industry,is developing rapidly and the competition in the industry is intensifying gradually,so the importance of equity incentive mechanism in the companies’ strategy is becoming more and more prominent.In the background,eGOVA hopes to maintain the long-term development of the company through equity incentive,stabilize the core technical staff to continuously improve the R&D and innovation ability,improve the performance level of the company,and then enhance the competitiveness and company value.The research on the effect of the implementation of eGOVA’s equity incentive is helpful to analyze the impact of eGOVA’s equity incentive on the level of corporate governance and corporate value,to avoid the limitations that may exist in the equity incentive,and to enhance eGOVA’s competitiveness in the industry.The eGOVA equity incentive is selected as a research case in this paper,and domestic and international studies are sorted out,and the full research framework is constructed by combining relevant concepts and theoretical foundations.From the background and motivation of eGOVA’s equity incentive,the necessity of studying its implementation effect is analyzed.By analyzing the implementation of eGOVA equity incentive and combining with the equity incentive situation in A-share market,it is considered that the current eGOVA equity incentive has a low percentage of incentive recipients,a 15% turnover rate,a short incentive period and a change in performance evaluation.Combined with the influence mechanism of equity incentive,this paper analyzes its implementation effect from five perspectives: financial impact,incentive target stability impact,R&D capability impact,market response and company value impact under equity incentive.The study shows that eGOVA equity incentive has the limitations of limited incentive scale,single performance assessment index and short equity incentive period.The paper suggests that in the formulation of eGOVA equity incentive program,attention should be paid to moderate expansion of incentive scale,targeted selection of incentive targets,diversification of assessment indexes,and moderate adjustment of incentive duration.This paper also proposes three safeguards for eGOVA,which are to attract and retain high-level talents,to implement differentiated incentives for employees,and to develop an equity incentive supervision system,hoping to provide corresponding reference for the implementation of eGOVA equity incentive.