Executive Stock Options In The Operation Of China's Research

Modern enterprise system has made the ownership and operation-right separated from each other. The relationship of the owners and managers is a kind of principle and agent. That is, they hold different interests. Therefore, how to stimulate the managers working for the stockholders' interests has become very important. It is one of the important reasons of the development of Executive Stock Options. The salary system for managers is not efficient in China, so it is necessary for us to introduce ESO to China. All of these are the reasons and significance of why I choose "Studies on Executive Stock Options" as the title of my thesis.This paper is composed of five chapters. The first chapter introduces the primary theory about ESO, which consists of its practical and theoretical basis, the conception of ESO, and its function. The second chapter aims at researching on the operation of ESO in foreign countries, especially in U.S.A.. And the third part focuses on Chinese situations about stimulation system for managers. Then, the fourth chapter emphasizes on the internal and external obstacles to adopt ESO in Chinese current situation. Finally, the paper introduces what our country should do in order to implement ESO.