The Impact Of Equity Incentive On Corporate Performance Of GEM Listed Companies

Equity incentive in western developed countries is more mature,and the time to enter China is late,mainly due to the late development of China's economy,the market mechanism is not perfect.After the introduction of equity incentive in China's market,there are many studies on whether it can improve corporate performance,but the conclusions are not uniform.With the launch of China's gem,the number of small and medium sized,innovative and high-tech enterprises in China is increasing rapidly.In this context,whether the implementation of equity incentive can improve the performance of listed companies.Based on the above background,this paper draws on the conclusions of previous scholars to further study the impact of the implementation of equity incentive on corporate performance in China's gem market.The gem of the implementation of equity incentive of Listed Companies in2013 for the first time the company's performance analysis,test of equity incentive can improve the performance of these companies;and different incentive mode have a significant impact on corporate performance.The mechanism of the performance of the company in accordance with the relative theories of equity incentive and equity incentive theory,the gem will be the implementation of equity incentive system in 2013 for the first time the listed company as the research object,by selecting the rate of return on net assets,earnings per share,net profit growth rate of 12 financial indicators,modeled by factor analysis method and the multiple regression equation.Incentive mode hypothesis for empirical research on equity incentive effect,in the enterprise,the conclusions are as follows:to improve the performance of the company in the implementation of equity incentive,but not significant;the higher the proportion of equity incentive incentive effect is more significant;the restricted stock is slightly better than the effects of stock option.The reason for this phenomenon is due to the low effectiveness of China's GEM market,the company's internal structure is irrational.At the same time,it is also a technical reason to select a small number of samples and a short time span.In this regard,the state and the company itself should be self-improvement,improve the effectiveness of the capital market,improve the relevant laws and regulations,a reasonable set of equity incentive programs.In such an environment,equity incentive can be successfully implemented.