Research On The Equity Incentive Case Study Of Wuhan Wushang Group Co.,LTD

With the development of economic globalization,the pressure of competition among companies in the market environment is constantly increasing.If an enterprise wants to be invincibled in market competition,it must recognize the importance of "talent" by using human capital,pay attention to technological innovation,improve the existing management level,to achieve the transformation and upgrading of enterprises,and further seize the market.Equity incentive is a new incentive method to replace the traditional salary incentive model to help companies retain useful talents.Since the equity incentive plan was extended to China through a wide range of development,many advanced companies have tested water and have successively issued a series of documents at the national level to provide an effective institutional environment for China's listed companies to implement equity incentive plans,but due to the Chinese capital market Factors such as immaturity also led to a number of challenges in the implementation of the plan.In addition,the implementation of the equity incentive plan does not effectively consider the differences in the socio-economic environment in which various industries and industries participate,but also brings more obstacles.Therefore,from the perspective of the macroeconomic situation of the country and the industry environment in which the company is located,it is necessary to design the program based on the characteristics of the company itself,so as to stimulate the greatest effect of the implementation of the program.This article applies the theory related to equity incentives,combines the current laws of our country,implements the Wushang Group that implements the equity incentive plan as the research subject,and combines the basic conditions of the Wushang Group,and implements the "restrictive + employee stockholding" of the Wushang Group.The equity incentive plan of the company was analyzed to fully understand the background before Wushang Group's implementation of equity incentives,including the current status of salary,development strategy and equity structure,etc.,and analyzed the motivation of Wushang Group to implement this incentive plan.In addition,the incentives and goals for the implementation of equity incentives were evaluated for the implementation effect of the incentive plan,and it was concluded that this implementation had relatively good results.In the process of analyzing the program elements of the restricted stock plan and the employee stock ownership plan,there are some problems in the original stock incentive plan: First,the incentive period is short;second,the assessment index is formulated too loose;third,the funds The source is too single;Fourth,the lack of professional management methods;Fifth,the allocation of equity in employee stocks does not set assessment standards.Based on the actual situation of the company and drawing on the successful experience of other companies,this article proposed some suggestions for improvement of the Wushang Group's equity incentive plan.The specific content is as follows: appropriate extension of exercise period;appropriate adjustment in light of the macro environment and the company's specific conditions High assessment indicators;It is recommended to adopt the "employee self-raising + special fund incentives(to borrow from controlling shareholders,donate to controlling shareholders)" model to ease employee financial pressure;introduce professional asset management agencies;Setting a row weight multiplier will change the holding plan from static to rolling,enhancing the incentive effect of the plan.Finally,relevant revelations are derived,namely,the innovation of shareholding model,selection of incentive objects according to the nature of the company,reasonable choice of incentive terms,and improvement of relevant laws and regulations.The research in this paper not only helps Wushang Group to better exert the effectiveness of equity incentives,but also,Wushang Group,as a retail enterprise in listed companies of state-owned enterprises,can implement equity incentives through the study of its equity incentive plans.The retail company provides a reference.