Research On The Influence Of Profit Distribution Mode On Agency Cost Under The Business Partner System

China's large-scale supermarket chains have always been one of the industries with high degree of marketization and fierce competition.Since the 21 st century,large foreign supermarket chains such as Wal-Mart and Carrefour have gradually entered the Chinese market,and the competition with China's local supermarket chains has intensified.In the context of fierce competition,chain supermarkets also face the same problem because of the characteristics of the industry: with the development of the economy,the agency costs increase and hinder the development of the company.How to reduce agency costs has also become an important constraint to the operation and development of large supermarket chains.In order to solve the problem of agency cost,the business partner system has gradually emerged.It removes the original pyramid management structure and improves the complicated organizational relationship through a flat corporate governance structure,making people's relationship with the organization more flexible.With the interests as the link,the employer and the employed person participate in the profit distribution,realize the model upgrade from the migrant worker to the business partner,stimulate the entrepreneurial spirit of the employees,and let the employees deeply feel that they are controlling their own destiny.The interests of shareholders,management and ordinary employees tend to be consistent,interests and achievements are shared,risks are shared,agency costs are reduced,and the company's healthy development is promoted.Profit distribution model is a key part of the partnership system.So this paper takes it as the research focus and discusses the impact of the model on agency costs.In the Chinese supermarket chain industry,Yonghui Supermarket is the first to implement the business partner system.The reason why it can guarantee the low-cost competitive advantage is that through the implementation of the business partner system and the unique profit distribution model,it has greatly stimulated the enthusiasm of all employees,accelerated the management efficiency of the company,and improved the performance level.To create greater wealth for shareholders.Firstly,this paper organizes the literature on the business partner system,profit distribution model and two types of agency costs,and defines the concept of businesspartner system and agency cost within the scope of this paper.Secondly,based on the research contributions of previous scholars,starting from the uniqueness of Yonghui Supermarket's management products,the reasons for the increase in agency costs in the context of the physical supermarket industry are explored.Based on the characteristics of the profit distribution model of Yonghui Supermarket,through the evaluation and analysis of the agency cost index of Yonghui Supermarket,it is analyzed whether the profit distribution model has a practical impact on the two types of agency costs,and whether the agency cost is effectively controlled.The study found that Yonghui Supermarket has implemented a unique profit distribution model under the business partner system,which has enabled the company to form a good incentive mechanism from top to bottom,which not only improved the enthusiasm of employees,but also retained the company.Valuable talents,saving costs,reducing the agency costs,the economic effect is more obvious,greatly improving the performance level of enterprises.Therefore,the profit distribution model of Yonghui Supermarket is effective for reducing agency costs,and it is of great help to the improvement of corporate value.It also provides a reference for companies that are implementing or not implementing a business partner system.