The Research Of The Listed Companies’ Stock Option Incentive Effects

In order to improve governance structure of the company and ensure management objectives consistent with shareholder, it is necessary to imply effective incentive means. The effective implement of stock option incentive programs can make encourage management maximize the interests of shareholders, and then enhance the effect of stock option incentives. In January4,2006, China Securities Regulatory Commission issued The Listed Companies’Stock Option Incentives Administration Measures (Trial Implementation), more and more listed companies imply the stock option incentives.Paper combined with research about the effect of incentive stock options at home and abroad, using principal-agent theory, human capital theory, incentive health theory, hierarchy of needs theory as support. Analyze stock option incentive effect before and after exercise, then use two aspects of the stock option exercise price and the exercise period as the starting point, study the listing Corporation stock option incentive effect intensively.Paper chose stock option incentive variables-exercise time, exercise price, the stock option incentive effect variables-the rate of return on net assets, earnings per share, Tobin’s Q value as well as control variables-company size, asset liability ratio, total asset turnover, using descriptive statistics analysis and multiple linear regression analysis method to do empirical research on incentive effects of listing Corporation stock option.According to the results of empirical part, combining with the theoretical analysis, for listing Corporation to implement the stock option incentive to promote enterprise effect give suggestions as follows:the micro level, design reasonable option exercise period and the exercise price, design reasonable option incentive proportion, improve corporate governance structure and establish a scientific performance mechanism of appraisal system; macro level, establish and improve an effective manager market to increase the executive supervision, cultivate a stable and efficient capital market to improve the relevant legal regulations and policies.