Listed Real Estate Company Executives Incentive Pay And Company Performance

With China's sustained and rapid economic development, the housing estate, as a new economic growth point in our country, develops rapidly in recent years and is day by day prominent in our country industrial structure's proportion. As the manager's work is closely interrelated to the overall business situation, making the manager's status and affection in the corporate governance increasing day by day. For this reason, taking a scientific and effective pay excitation mechanism to encourage the managers to further increase the company's benefit has become an inevitable choice.This paper selects A-shares of housing estate listed company in Shanghai and Shenzhen Stock Exchange during 2007 to 2009 as the research object. Data come from CSMAR Database of GTA Information Technology Co., Ltd, Wind of Financial Database in China, Official website of China Securities Regulatory Commission and the financial statements of listed companies and so on. Eventually, we get 153 sample date. SPSS 17.0 is used to carry out multivariate and regression analysis. The research shows that the managers have a high level of annual salary and a very low point of direct holding-many of them have no stock of the company. The annual salary has directly relative to the company's benefit. And, the company's benefit and the scale of the company immensely affect the manager's annual salary. The interest incentive effect is not obvious, but salary incentive is obvious.Finally, according to the research, the paper puts forward a solution and a suggestion about establishing a pay excitation mechanism of the managers in the housing estate listed companies. Also, the paper summarizes some deficiencies in the research process.