Legal Issues Of Equity Incentive System For Listed Companies In China Executives

Share Rights Stimulation System is the most effective corporate stimulation system which has been testified time and again by other developed countries. The implementation of this system can effectively deal with the problem of commission and agency and can do good to the formation of long-term stimulation system in the internal company. Due to the vacancy and deficiency of the law, it causes many domestic listed companies to confront a series of problems in the implementation of Share Rights Stimulation. Taking the analysis of the reason which causes the"commission-agency"contradiction in modern corporate management as the beginning, according to some practical results which the western countries reached in the implementation of Share Rights Stimulation, this essay analyses the system and lawful issues which our listed companies have encountered during their implementation of this system and tries to put forward solutions. It is hoped that the essay can provide some constructive suggestions on the related laws for our listed companies to carry out the Share Rights Stimulation.This essay is divided into five parts.Part one—preface. This part puts forward the background and significance of this essay. Share Rights Stimulation has been testified as a kind of long-term effective stimulation approach to the senior management in the listed companies. Our listed companies have also made some exploration and tentative to this system, but we encounter a few obstacles in its operation due to some deficiencies of laws and regulations. How to solve those problems and realize the effective operation of the Share Rights Stimulation System in our listed companies is the basis of this essay.