Research On The Impact Of Employee Stock Ownership Plan On The Innovation Capability Of Listed Companies

China’s economy has now shifted from a stage of rapid growth to a stage of high-quality development,scientific and technological innovation is the key to transforming the development mode,optimizing the economic structure,and transforming the growth impetus.In the whole society’s research and development investment,A-share listed companies account for half of the country,and increasingly become the main force of integration of innovation factors and transformation of scientific and technological achievements.Therefore,how to improve the innovation capability of listed companies will be the key to achieve the high quality development goal.As an incentive mechanism for the long-term development of enterprises,whether ESOP can effectively stimulate enterprise innovation has attracted much attention.However,since the 1980 s of last century,the implementation of ESOP has not been smooth.Although some scholars have conducted a lot of research on how ESOP affects the development of enterprises,the research on how ESOP affects the innovation ability of enterprises is still in the initial stage,and there are few studies have been conducted on its pathway.Based on this,this paper takes the listed company of Rianlon as the research object to analyze the specific impact of its two-phase employee stock ownership plan on the innovation capability of the enterprise and its action pathway.After analyzing the existing research results,this paper first defines the related concepts of ESOP,and introduces the related theories and the current situation of ESOP in our country.On this basis,this paper introduces the case of the two-stage employee stock ownership plan of Rianlon,and makes an in-depth analysis on how it affects enterprise innovation.Through the case study,it is found that after the implementation of the employee stock ownership plan,the innovation capability of Rianlon is significantly improved.Not only the innovation investment in capital and manpower increased significantly,but also the patent output and new business revenue of the enterprise increased significantly.Further research shows that the improvement of the company’s internal governance,the improvement of the ability to take risks,the retention and absorption of high-quality human capital and the alleviation of corporate financing constraints are the key factors for the employee stock ownership plan to promote the innovation capability of Rianlon.Finally,based on the conclusions of this paper and the successful experience of the two-phase employee stock ownership plan of Rianlon,this paper provides some suggestions for those enterprises that plan to improve their innovation capability through the implementation of employee stock ownership plan.