An Empirical Research On The Equity Incentive Implementation Effect In Investment Efficiency

Recently,de-capacity,de-inventory,de-leverage and elevating have been the basis and background of the economic policies.Supply-side reform has also been implemented thoroughly in extensive application.Meanwhile,strategic emerging industrial listed corporations will experience stable and rapid development.On the one hand,it is urgent to develop new technologies independently in the context of some core technologies being tightly blocked by other countries.In the future,China will definitely focus on increasing investment in technology research and development in emerging industries to promote the fundamental change of enterprise form and manufacturing industry model.In order to promote the value chain of China's industrial corporations,the gathering of private capital and elite talents to strategic emerging industries will be an inevitable trend.On the other hand,for the purpose of attracting outstanding talents in the industry and retaining the coremanagement of the systems,the equity Incentive plan has attracted more and more attention from listed corporations,acting as a popular tool to improve the corporations' performance.Domestic and foreign scholars have been studying the implementation effect of equity incentive for a logn time.Most of them verify and analyze it from the perspectives of operation performance,R&D investment and enterprise value.As the international status of China's economy continues to improve,capital intensity will rise accordingly,investment will contribute more to GDP growth,and economists and entrepreneurs will pay more attention to investment efficiency.Therefore,this paper chooses to analyze the implementation effect of equity incentive from the perspective of investment efficiency,hoping to provide the latest empirical data and empirical reference for relevant enterprises and scholars.On the basis of reference to previous literature and research,the first part of thispaper elaborates the theoretical and practical significance of the analysis in the background of research,and introduces relevant basic concepts,research contents and research methods.The second part concludes and summarizes the research on equity incentive effect and the relationship between equity incentive and investment efficiency,which lays a foundation for the construction of empirical analysis model and the selection of variables.The third part analyzes the influence of equity incentive on the overall development of listed companies and the mechanism of the effect on investment efficiency from the theoretical perspective.The fourth part shows the overall development of strategic emerging industries by using descriptive statistics method,and then classifies and summarizes the status quo of the implementation of equity incentive of listed companies in strategic emerging industries from three aspects of industry distribution,regional distribution and the nature of controlling interest.In the fifth part of empirical research,on the basis of Richardson residual measurement model,expected investment level measurement model was constructed to measure the degree of over-investment and under-investment,then test two explanatory variables on the efficiency of the strategic emerging industry listed company investment role and influenceincluding the implementation of equity incentive and equity incentive level.The sixth part summarizes the research content of this paper,and puts forward corresponding Suggestions for the government to lay out strategic emerging industry development and the listed company to make equity incentive plan.The empirical results of this paper shows that the implementation of equity incentive for listed companies in strategic emerging industries can not only restrain the over-investment behavior,but also alleviate the problem of under-investment.The level of equity incentive is negatively correlated with the level of non-efficient investment and the degree of in-efficient investment,the level of over-investment is a"u-shaped" curve,with the inflection turning point around 52%.