The Domino Effect Analysis Of The Property Right Structure And List Compang Administrant Motivation

Employees equity motivation is one of important mechanisms among listedcompanies. it is introduced to China because the incentive mechanism is arelatively perfect, and is used widely in West. Now many companies begin to usethe incentive mechanism in China. However, if it can improve corporate performanceeffectively in China, author think it is worthy to research even the mechanismis successful in West. The paper sort among listed companies to three type, thatis absolutely state-owned company, relatively state-owned company, andnon-state-owned company. the author study the relationship between corporate valueand executive stock ownership. The paper study 86 listed companies and collectsome data form 2002 to 2005 among the listed companies. The paper test therelationship between ROA and Tobins' Q. The author find following results fromthe test.Firstly there is negatively related between corporate value and executivestock ownership, whatever it is state-owned listed company or non-state-ownedlisted company. generally, the result of incentive mechanism is not obvious amongthe listed companies. Secondly the incentive effect among absolutely state-ownedcompanies is worse than relatively state-owned companies and non-state-ownedcompanies. Thirdly the incentive effect among relatively state-owned companiesis better than non-state-owned companies. Finally there is positively related tocorporate performance by dispersing stock ownership of shareholders. Accordingto the results of study, the author advice some state-owned companies should beprivatized gradually and listed companies should perfect all aspects of managementmechanisms so that incentive mechanisms can perform effectively.