Stock Share Incentive Of The Management Of Private Listed Companies And Company Performance Research

The prominent feature of modern publicly-owned corporation is separation of ownership and management, giving rise to principal-agent relationship. It is a centerpiece of corporate governance study how to improve producing and management efficiency and reduce agency cost in competitive markets, only to maximize profit or shareholder wealth. The incentive issues of senior corporate executives in our country have been the focus of attention,but there is still relatively little research on private enterprise incentive mechanisms. Depending on this background, the research on the stock share incentive of the management of private listed companies is very urgent and necessary,it makes a great theoretical and practical significance to ensure the private listed companies healthy, stable and rapid development.This paper analyzes the relation of the management ownership and the company performance in the private listed companies from both theory and empirical perspectives. The article comprehensive describes the western academic many theories and the hypothesis about the relation of stock share incentive of the management and the company performance.Used date from 2005-2007,this paper research on the relation of the stock share incentive management ownership and the company performance in the private listed companies. The text does empirical the relationship between management ownership and the corporate performance. The research comes to the following conclusions: managerial ownership to Tobin'Q,ROE,NAPS will have a positive correlation.It showed that the company performance became higher as the managerial ownership. Therefore, by implementing theim plementation management stockholder's rights,the company efficiency enormously enhanced.Finally, the feasibility suggestion for the management ownership policy are proposed to enhance the company performance level practical effectively in our private listed companies.