Study On The Optimization Of Executive Motivation And Its Effectiveness In Family Businesses After Intergenerational Succession

After the intergenerational inheritance,family enterprises are facing the problem of how to "inherit" the second generation of children.The second generation heirs need to build the core executive team through a reasonable executive incentive model to improve the motivation of the executive team,enhance the value of the company and build authority.At present,few scholars have studied the executive motivation of family companies in the context of intergenerational inheritance,and there is a lack of specific case studies.This paper adopts a case study approach to focus the research on the optimization measures and optimization effects of executive incentives of family enterprises after the formal handover of management rights,to improve the shortcomings of existing research.Based on principal-agent theory,social emotional wealth theory and incentive theory,this paper takes Meifa family enterprise as the case study object.Firstly,this paper looks at the incentive optimization measures of senior executives after the intergenerational inheritance from three perspectives: incentive object,incentive method and incentive intensity.Secondly,from the authority construction of the second generation successor,the enthusiasm of the senior management team to fulfill the obligation of diligence,the company performance to see what kind of optimization effect the executive incentive optimization measures achieve.The main conclusions obtained from this paper are as follows: First,after the intergenerational inheritance,Meifa Company has optimized the scope and structure of executive incentive targets,optimized the content and rationality of executive incentive methods,and enhanced the intensity of executive incentive to achieve the multi-angle and all-round optimization of executive incentive measures.Second,through the above series of comprehensive measures of executive incentives,Meifa Company has achieved better results in executive incentives after intergenerational inheritance,and the authority of the second generation has been built and stabilized;the enthusiasm of executives in fulfilling their diligence obligations has been better enhanced;and the profitability and operation capacity has been enhanced.Based on the research findings,this paper puts forward research insights from five perspectives: attaching importance to the inheritance of social capital wealth of one generation,attaching importance to the balance of incentives for family executives and non-family executives,improving measures for executives’ spiritual incentives,enhancing the rationality of executives’ incentives,and improving the intensity of executives’ incentives,respectively.It is expected to provide solutions for the optimization of executive incentives after intergenerational inheritance of family enterprises and achieve the purpose of promoting high-quality development of family enterprises.