Research On The Implementation Effect Of A Company's Equity Incentive

Equity incentives are a long-term incentive mechanism that companies promote to encourage and retain core talent.The equity incentive policy gives the incentive object the right to obtain the company's stock or the income linked to the stock under certain conditions,so that the management can diligently serve the company's long-term development and achieve the purpose of promoting the company's development while pursuing the maximization of its own interests..In recent years,there are more and more companies implementing equity incentive plans in China.Equity incentives can retain core talents and improve the company's core competitiveness.Because this mechanism just meets the needs of enterprises for a large number of talents,it is widely used in the highly intelligent and fast-developing computer software industry.The industry attaches great importance to the implementation of the mechanism.More than half of the listed companies implement the equity incentive plan,which has become the most implemented equity incentive plan.industry.Based on this background,this paper mainly uses the case study method,selects the representative company A in the computer software industry as the case study object,and uses the company's equity incentive as the research process to analyze the background,motivation and performance of A company's implementation of equity incentive.,trying to sum up its successful experience.The thesis is divided into four parts.The first part introduces the research background and significance and summarizes relevant research at home and abroad.The second part is the theoretical basis of the thesis.The third part is a case description,which describes the general situation of Company A,the policy and industry background and motivation for implementing equity incentives,and describes its equity incentive plan and the implementation of Company A.The fourth part is the case analysis.Combining the actual situation and related theories,it analyzes the effect of A company's equity incentive from the multiple dimensions of market performance and financial performance,and summarizes its successful experience and inadequacies,and draws inspiration and conclusion..Through the analysis of equity incentives,this paper believes that when designing the equity incentive plan,it is necessary to consider the situation to develop a scientific equity incentive plan,improve the performance evaluation system,improve the corporate governance structure,rationally select the incentive targets,and determine the appropriate performance unlocking conditions.It is hoped that the analysis and suggestions in this paper can help other companies to formulate equity incentive plans,which can effectively promote the implementation of corporate equity incentives.