Research On The Impact Of Equity Incentives On Market Value Management From The Perspective Of Corporate Life Cycl

The implementation of the “Nine new National Regulations” in 2014 and the strictest delisting new regulations announced in 2020 all show the importance of market value management of listed companies,and the number of listed companies conducting market value management is also gradually increasing.However,in the process of market value management,some companies carry out “pseudo market value management” by some means in order to gain investors attention,so the market value may not reflect the intrinsic value of the company in the capital market,and there may be fraudulent behavior of falsely increasing the company’s market value.Equity incentive is a long-term incentive method which can not only solve the agency problem between shareholders and operators but also improve the motivation of the target,which can promote the improvement of the company’s performance,the creation of value and the management of the company’s market value.However,enterprises show different characteristics in different life cycles,so enterprises should design equity incentive schemes according to their own development conditions so that equity incentive can play a better result.In this case,it is of great significance to study the effect of equity incentive on market value management in each life cycle stage from the perspective of life cycle.Based on this,this paper studies the effect of equity incentive on market value management under different life cycles through Yongyou Network Company.First of all,through the review of relevant literature to determine the research ideas,then define the relevant concepts and the theoretical basis.The process of equity incentive in Yongyou Network is introduced again,and the mechanism of equity incentive in different life cycles on market value management is pointed out.The effect of equity incentive on market value management in different life cycles is analyzed from the perspective of market reaction,financial and non-financial perspectives.Then the market value management performance evaluation system is used to analyze the market value management results.Finally,the paper draws conclusions and puts forward corresponding suggestions and points out the shortcomings of this paper.The research value of this paper is to analyze the influence of equity incentives on market capitalization management under different life cycles through a single case of Yongyou Network,which provides certain reference for the research status of equity incentives and market capitalization management of Chinese listed companies.