Equity Incentive Applicability Of Research

As the domestic capital market becomes increasingly active, and the relevant laws and regulations improve steadily, stock ownership incentive has been favored by more and more enterprises as an outstanding motivation. In this paper, on the basis of the relevant literature, in accordance with the relationship of gain-risk, the stock ownership incentive models can be divided into two types: the equity stock ownership incentive model and the proceeds stock ownership incentive model.The core competence of the enterprise is the most important drive while the core technical capability is the most important component. From the perspective of knowledge, the basic attribute of the core technical capability, this paper has a research on the characteristics of different enterprises, then defining the formation of the core technical knowledge and the distribution of knowledge as the accessibility and the extent of knowledge and establishing a matrix model.Based on the two latitudes of core technology knowledge, this paper will have an analysis on the match between four kinds of enterprises and two stock ownership incentive models. As a result, stock ownership incentive matching models can be made for four types of enterprises:- Core technical knowledge in the high availability, the high concentration of enterprises, the core technology for knowledge workers to return -the equity stock ownership incentive model.- Core technical knowledge in the low availability, the high concentration of enterprises, individuals can be based on the core staff will choose the type incentives such as the equity stock ownership incentive model or the proceeds stock ownership incentive model.- Core technical knowledge in the availability-low level of the low concentration of enterprises, the core technology for knowledge workers implement the proceeds stock ownership incentive model.- Core technical knowledge in the high availability of the low concentration of enterprises, not suitable for encouraging employees to take stock ownership incentive model.