A Case Study On Equity Incentive Effect For Hikvision

Equity incentive is an effective long-term incentive means to motivate employees in order to improve the work efficiency of them.Recent years,in order to attract key talents and improve the level of research and development,more and more corporations have gradually begun to motivate employees by equity incentive plans.But whether the realization of equity incentive plan can effectively improve the financial performance,and R&D investment of enterprises,bring forth new ideas,reduce the mobility of personnel,and attract outstanding talents is still a problem that needs to be studied carefully.Based on the summary of the domestic and foreign literature about enterprise equity incentive,this thesis applies the incentive theory,uses the case analysis and the normative analysis,and selects the national high-tech companie Hikvision as a case to study the equity incentive problems of state-owned enterprises.The content includes three parts: the first part is theoretical analysis which analyze the meaning,mode,affecting factors and financial performance of equity incentive from the theoretical level;The second part is case analysis which takes Hikvision’s equity incentive as a case,analyzes the four restricted stock incentive plans and incentive effect,and finally evaluats it;The third part is the countermeasures and suggestions,which obtains enlightenment from the theoretical analysis and case analysis to provide reference for enterprise equity incentive.Through the research,the thesis has drawn certain viewpoints and conclusions,which are mainly as follows:the equity incentive plan of Hikvision can improve the financial performance,improve the profitability and development capacity of the enterprise;The implementation of the equity incentive of Hikvision has received a good market response,enhanced the innovation ability of the enterprise and stabilized its staff.And some enlightenment has been obtained by summarizing its experience: When a state-owned listed company implements the equity incentive plan,it should reasonably formulate the equity incentive plan;Improve the internal governance mechanism and internal supervision mechanism;The external supervision mechanism should be strengthened to review and supervise the process of equity incentive implementation by listed companies.The case study of Hikvision’s equity incentive plan in this thesis helps to improve the understanding of state-owned listed companies on equity incentive to a certain extent,and provides certain reference for enterprises that are expected to implement equity incentive.