Study On The Design Optimization Of Equity Incentive Plan For Listed Companies In Household Electrical Appliance Industry In China

With the continuous development of China's market economy,the scale of modern enterprises is also increasing,the management right and ownership of enterprises begin to separate,and the principal-agent relationship between owners and managers also produces immediately with it.In order to solve the conflict of interests between owners and managers,more and more enterprises begin to implement equity incentives.Equity incentive is a long-term incentive mechanism,the design of equity incentive plan is directly related to the implementation effect of equity incentive,and the implementation effect will ultimately reflect the company's performance.Therefore,it is necessary to evaluate the effect of incentive by studying the design of equity incentive plan and combining with the change of company's performance.Based on the system of equity incentive in China and the situation of enterprises,how to formulate the equity incentive plan beneficial to the development of enterprises themselves,optimize equity incentive plan design,improve the governance structure of enterprises and enhance the implementation effect of equity incentive is a problem worth studying.In general,it is of great significance to the long-term development of enterprises and short-term performance improvement to study equity incentives from the design of equity incentives to the final change of enterprise performance.As one of industries with the earliest marketization and the fiercest competition in China,the household electrical appliance industry has been upgraded from the original price competition to the competition of comprehensive strengths such as brand,technology,management and service.In order to build an excellent management team and further enhance the R&D strength and the market competitiveness of enterprises,listed companies in the household electrical appliance industry in China are competing to launch equity incentive plans.As one of the leading enterprises in the household electrical appliances industry in China,Qingdao Haier Co.,Ltd.is a typical representative of listed companies in the household electrical appliances industry in China,which has implemented four-phase equity incentive plans up to now and has also launched three-phase employee stock ownership plans in recent years.Therefore,based on the principal-agent theory and the human capital theory,this paper uses the comprehensive analysis method of case analysis combining with data analysis to study.According to the characteristics of the household electrical appliance industry in China,this paper studies the four-stage equity incentive plan implemented by Qingdao Haier,explores its motivation,evaluates its implementation effect,draws implementation experience and optimization suggestion,and hopes to provide some guidance and reference for other listed companies in domestic household electrical appliance industry,and also paves the way for further optimizing the equity incentive mode and studying the employee stock ownership plan.