Research On Optimization Of LLJF Company Equity Incentive Scheme

With the development of economic globalization,the enterprises affected by the intensity of market fluctuation also gradually increased,the intensity of competition is expanding.If the enterprise wants to be standing in the fierce competition market,they must be aware of the importance of "talent",thereby achieve the transformation and upgrading of enterprises to seize the market,but also should pay attention to technology innovation and improve the management level.The equity incentive is a new incentive method to replace the traditional salary incentive mode,it is useful to help the enterprise to retain talented person.Since the equity incentive program has been developed to a large scale in our country,many advanced enterprises have been testing the water,At the national level has also introduced a number of documents for China’s listed companies to implement the equity incentive plan,they provide an effective institutional environment,However,due to the immaturity of China’s capital market and other factors also lead to many challenges in the implementation of the plan.And there is no effective consideration of all walks of life in the socioeconomic environment and other factors for the implementation of the plan has brought a lot of obstacles.Therefore,to play the maximum effect of the equity incentive plan,based on former experience,from the macro situation,the scope of our country’s business environment,with their own characteristics to design and plan the effective play.This paper takes the case of LLJF in the form of such a listed company as the research subject,to explore whether its equity incentive program design is scientific.LLJF,before the implementation of this programme to the performance of the bottom level,in order to improve the situation and retain talent the formal implementation of the equity incentive plan.The specific research process is as follows:First of all,based on the domestic and foreign scholars to understand the relevant research,and familiar with the support of a variety of equity incentive theory,as well as the content of the equity incentive,the main classification model,and understand the design of the equity incentive plan,the procedures and the specific process of implementation.The second is through collecting and sorting out the relevant LLJF large amounts of information,making a detailed understanding of the company’s situation,the background,the strength of the company,then authors can form a basic understanding of the LLJF design,and have the implementation of equity incentive plan.Then combination of macro and micro environment of enterprise development to understand the background and implementation scheme of the equity incentive plan content,after in-depth analysis did not exercise the reasons for success,It was also found that the equity incentive plan design unscientific and internal and external environmental problems.The last provide some optimization ideas,and that to provide guarantee of improving the implementation of the company’s internal governance structure,improve the supervision for the equity incentive plan.The main contribution of the article is to analyze LLJF cases,most of the existing research is a certain stage of the company announced the equity incentive plan for the sample to the overall market reaction research,and a single case as a sample,you can analyze more in-depth Thorough,to find the problems in the program,but also for other companies to implement equity incentive plan to provide reference.