The Market Reaction Of Equity Incentives In China 's Listed Companies

The last century, the enterprise produced about the principal-agent problem in theface of the situation in the process of separation of two rights. Based onthis problem, the corresponding produced equity incentive system. Then, thesystem will continue to develop in the western countries, until the last centuryninety’s, the equity incentive system to complete the development of scale in thewestern countries. According to the experience of the western developed countries inthis regard can know, as a long-term incentive mode according to a kind of enterprisemanagers, equity incentives in the implementation process is mainly to provide theresidual claim right and control right through to the enterprisemanagers, these managers short-sighted on the problem, and through the completionof management tasks, benefit from the enterprise.Reform and opening up of last century90’s, many listing Corporation in Chinabegan to carry out the reference to the western countries on the equity incentivesystem. However, due to China’s unique social development environment andrelevant market economic conditions, the company in the implementation of equitysystem of the effect is not obvious in the show. After the completion of theequity division reform, great changes happened in the securities market situation inchina.. Equity incentive management listing Corporation. Generated fromoperating in this environment. With the development of the equityincentive environment changes gradually, the market environment graduallyimproved, the equity incentive mechanism in China is relatively further specification.A specialist in equity incentive has conducted in-depth study, through the equityincentive methods can effectively improve the principal-agent problems,andto enhance the value of the company, thus can judge, the company especially listingCorporation among the equity incentive plan implementation will cause the companystock price change. Through the comprehensive effect of current our country market economyenvironment of the company announcement of equity incentive effect analysis,toexamine the equity incentive conditions of company equity fluctuationsituation. Therefore, this article selected from2010to2014in Shanghai andShenzhen Stock Equity Incentive under the conditions of the listing Corporation asthe main object of study. By using the research method of analysis of time toreflect on the market caused by the stock ownership incentive. To explore a varietyof equity incentive conditions caused by the subscript matter market reflect thesituation.