Research On Affecting Mechanism Between Equity Incentive And Market Value Management

After the reform of non-tradable shares,the concept of market value management arises.Then in 2014,the state council promulgated the "nine new national policies",which made all sectors of society pay close attention to market value management of listed companies.As an incentive mechanism to alleviate the principal-agent problem,equity incentive is regarded as one of the important means of market value management by many listed companies.However,there is still a lot of controversy about whether the implementation of equity incentive can really promote the market value management of enterprises,the mechanism of its function and the effect of its application.On the base of clarifying the mechanism of equity incentive effect value management through the large sample,this paper analyzes changes in business performance,market response,and market value management performance before and after the implementation of equity incentives according to CSCEC's three implementation of equity incentive.Based on the above research results,this paper summarizes the mechanism of equity incentive affecting market value management,as well as the problems existing in the implementation of equity incentive to improve market value management in CSCEC,and puts forward corresponding suggestions for promotion and application,providing reference for the future listed companies to conduct market value management through equity incentive.The main conclusions of this paper include two parts.In the empirical research part,there are three conclusions as follows: first,there is a significant positive correlation between equity incentive and value creation,value realization,premium factor and market value management performance,and there is a positive lag effect.Second,there is a significant negative correlation between equity incentive and value correlation.Third,the equity incentive measures implemented by state-owned enterprises have a stronger impact on market value management than non-state-owned enterprises.In the case study part,the main conclusions are as follows: first,policy factors,industry environment and other external macro environment will affect the effect of equity incentive to promote market value management.Second,the design of equity incentive scheme has an impact on the effect of equity incentive on market value management,but the lag effect shows that equity incentive can promote the improvement of value correlation degree to some extent.Third,the internal governance mechanism is closely related to the effect of equity incentive to promote market value management.The main suggestions for promotion and application in this paper include the following three points: first,encouraging the use of equity incentive to promote market value management.Second,from a strategic perspective to implement market value management.The third is to improve the equity incentive scheme design.