Research On Equity Incentive Effect From The Perspective Of Enterprise Life Cycle

In 2005,after the introduction of the "Management Measures for Equity Incentives of Listed Companies(Trial Implementation)",many non-listed companies and new third board enterprises have begun to implement equity incentives in addition to listed companies.It can be said that equity incentive has become a powerful tool for enterprises to attract and retain high-quality talents and expand their business scale.At present,many listed companies in China have begun to implement equity incentive schemes,but due to the short time of starting equity incentive in China,many enterprises have not understood enough about equity incentive schemes,resulting in the implementation of equity incentive schemes divorced from their own actual development situation,there are problems such as excessive incentive and insufficient incentive,which may even affect the development of enterprises.In fact,equity incentive itself has not any problems,but many enterprise do not consider the current life cycle of enterprises when they choose incentive schemes.Firstly,this paper reviews the main research status of equity incentive effect and life cycle theory,and finds that there is no definite conclusion on how to choose equity incentive in the life cycle of enterprises in the current literature.Based on the equity incentive schemes selected by Suning in different life cycles,combined with the industry environment,this paper chooses research indicators related to equity incentive effect to analyze the equity incentive effect of Suning E-Buy in different life cycle stages,and chooses enterprises in the same industry for comparative analysis.The study finds that the implementation effect of equity incentive in the growth stage is not obvious,but in the maturity stage.On the contrary,the positive effect is more obvious.The results show that in the growth period,enterprises can choose equity incentives to attract talents and achieve better benefits,but the actual effect may not be obvious.In the mature period,enterprises can encourage senior talents by equity incentive,and at the same time,it can play a role in stabilizing the development of enterprises and avoid the impact of external environment.Finally,this paper puts forward some suggestions to improve the effect of equity incentive based on the perspective of enterprise life,including timely adjustment of the plan in accordance with the macro-environment during the growth period,appropriate expansion of the proportion of incentive objects,while in the mature period,the enterprise needs to weaken the influence of major shareholders in the incentive scheme,and reasonably formulate the incentive scheme in the light of the future talent demand plan.Better to achieve incentive purposes.The main contribution of this paper is to study the effect of equity incentive from the perspective of enterprise life cycle,and on this basis,make a concrete analysis of the equity incentive scheme of Suning E-Buy,which can provide reference for other retail enterprises to choose and implement equity incentive more reasonably and scientifically.