The Development And Improvement Of Employee Stock Option In China

The Employee Stock Option is a long-term and effective inspiriting mechanism met with the trend of development of modern enterprises in a market economy. It is in harmony with the interests of employees and employer, Short-term incentives and long-term interests. However, There are a lot of controversy on this issue compared with the mature system of the United States of America after a series of large accounting sandal of many companies such as Enron Corp. it can be said that Employee Stock Options is not a new concept, Because China has been introduced into the system in early years, but many listed companies to Employee Stock Options incentive not be regarded as true sense of Employee Stock Options before the split share structure reform in2006, many scholars have focused research on foreign experience and theory. Along with the reform of equity division of the stock market in2006, the system has been recognized as a new notion. Although the controversy did not stop, the overall trend is worth expecting.Based on the results of previous studies, I have combined with China’s actual situation case studies as a starting point, stimulating readers to think about the current situation of the current situation of the Employee Stock Options in our practice in the end, the reason and solutions to these problems.This article has three innovations:Firstly, the logical structure of the new ideas, combining the basic theory of the first chapter of The Employee Stock Options and practice case of the second chapter, putting "Reform Act of America" and "the reform of equity division of the stock market of China" as the starting point and preparing for the following chapter three and four. Secondly, according to professional characteristics of master of law, I have put the construction of legal system of securities market, corporate governance and enterprise type combined. It has a strong practical operation meaning. Finally, The innovation of the solutions, mainly in the perfection of corporate governance. I have introduced the limited liability of shareholders and unlimited liability of directors to the Employee Stock Options In China. But it should be strictly limited to the conditions of its application.