Research On The Effect Of Yonghui Superstores' Equity Incentive

With the continuous development of the economy,the increasingly perfect equity incentive system plays an increasingly important role in solving the problem of corporate entrustment and stimulating the enthusiasm of employees.According to the "China Entrepreneur Value Report"(2017),Shanghai and Shenzhen have listed 910 listed companies in the equity incentive plan.Under this situation,all kinds of listed companies have more demand for the model of equity incentives.The target of equity incentives can not only target corporate executives.The equity incentive model of Yonghui Superstores for grassroots employees has emerged.How is the effectiveness of Yonghui Superstores' equity incentive model for grassroots employees? How to improve the innovative equity incentive model of Yonghui Superstores for grassroots employees has become a concern of listed companies in the same industry.This paper firstly sorts out the implementation methods of equity incentives,the evaluation methods of implementation effects,and the related literatures and theories of incentive effects at home and abroad.Next,this paper will specifically implement the equity incentive model for grassroots employees that Yonghui Superstores have implemented since2014.Introduction,as a large-scale retail enterprise featuring fresh food,Yonghui Superstores have different equity incentive models from other companies.The incentive targets are grassroots employees who have a great influence on fresh products,including the majority of“first-line employees” and responsible.The "professional buyers" of fresh-selling purchases mainly provide employees with certain shareholder rights through conditions,so that they have a sense of ownership,form a community of interests with the enterprise,and promote the growth of the company and employees;again,using the financial indicator method and the efficacy coefficient method As well as the EVA evaluation method,the implementation effect of the equity incentives of Yonghui Superstores ware evaluated from different aspects.In the Financial Indicators Act,the financial performance of Yonghui Superstores in 2012-2017 isanalyzed vertically based on the three types of financial indicators: operational capability,profitability and solvency;then the efficiency coefficient method is used to horizontally compare Yonghui Superstores with the same industry enterprises.The paper also applies EVA,an enterprise value evaluation method,to explore the change of enterprise value after the implementation of equity incentives in Yonghui Superstores,so as to further study the implementation effect of Yonghui Superstores' equity incentives for grassroots employees.From the perspective of financial indicators,the comprehensive profitability,solvency and operational capacity of the company have played a positive role in the financial performance of Yonghui Superstores.From the perspective of the efficacy coefficient method,compared with the non-implementation of equity incentives.Enterprises,Yonghui Superstores have effectively improved the performance of the company's equity incentives for grassroots employees;from the EVA evaluation method,the equity incentives of Yonghui Superstores have effectively enhanced the corporate value.Finally,this paper proposes relevant enlightenment for the incentives of Yonghui Superstores,and hopes to provide reference for other companies that are willing to implement such equity incentives,and provide case support for the development of the retail industry.