A Comparison Study On Different Effect Of Stock Option Incentive Model

Stock option incentive belongs to the range of corporate governance, and is one of the incentive mechanisms of corporate internal governance. As a long-term incentive mechanism, it is helpful to solve the agency problem between shareholders and operators, perform the consistence between ownership and controlling power, and conquer the short-term actions of managers to pay more attention to long-term sustaining development. Domestic scholars have studied in the field of classifying and theory of stock option incentive, the application of practice, operating management manner and absorbing the experiences of foreign operation.There are lots of differences of classifying stock option incentive mode between internal and overseas study. According to my study on the correlative literature, I classify stock option incentive into five basic modes, for example outstanding achievement stock, executive stock option, standard stock option, management buy-out and deferred payment. Other mode can be changed from these basic modes, so I begin to study by depending on them.The data used by demonstrating analysis in this paper is chose according to the standards of collecting analyzing data from Chinese listed company launching the A mode stock. It includes the annuals of 50 example listed company from 2000 to 2002. Analyzing method is using the SPSS software, at the base of many explanation variables, to demonstrate the relativity between managers' compensation proportion, total stock amount, circulation stock proportion, debts proportion and ROE through the multiple elements linear regression.The paper focuses on the study and analysis of the difference between those some stock option incentive and management performance. By the demonstrating analysis, we can make a conclusion that there is the weak relativity between stock option incentive and outstanding achievement of listed company and the difference is not clear between some modes and management performance, moreover, the relativity between lots of variables is different from American stock option incentive effect very much. In the finality of this paper, I make an analysis, contrast and explanation in details to give a suggestion and solution about how to make a sustaining progress of stock option incentive in different listed company of china.