Study On The Motivation Mechanism Of Executive Stock Option

For any country or region, the economy is activated by those successful enterprises. Theorically, those enterprises should build up a perfect institution, which could stablize the high level of managing personnels, and the institution is based on the mechanism to motivate those qualified people efficiently.As China's enterprises are more orientated by the market than before, Stock Option, basically an alternative to motivate people and to distribute wealth, has been used even pushed with great care in China.In the basis of studying Stock Option, this paper analyses the matters with the trial of Stock Option by China's enterprises, and develops some methods to deal with these matters, which include:1. Building up Corporate Governance.2. Establishing performance assessment.3. Overcoming some technical hurdles.4. Strengthening market mechanism.5. Enacting the concerning laws efficiently.6. Widening the understanding.Of all these methods, the author focuses more attention on "Performance Assessment" and "Technical Design", and then bring out some new ideas, hopefully dedicate that to the fundament of market mechanism.The paper combines the theory with practices, in the part of the theory, induction and deduction are used for conclusion; in the part of practices, the different models of Stock Option are compared for the China's enterprises, some typical examples talk about the matters within operating Stock Option, and tables, figures are analyzed with a big number of quantities. Finally, some practicable solutions are brought out...