Research On The Effect Of Restricted Stock Incentives In Dahua

With the increasingly fierce market competition,equity incentives have been adopted by more and more enterprises as an important means for enterprises to solve the problem of entrusting agency,stabilize and attract talents.Equity incentives allow managers as shareholder status to share business risks and share profits to achieve win-win cooperation.After the financial crisis,the disadvantages of the stock options that were highly sought after gradually revealed gradually,and restricted stocks have become the first choice for companies to implement equity incentives in recent years due to their unique advantages.Although restrictive stocks are hot,their implementation in China is not long,and some companies have not achieved the expected results.Therefore,under the current background,case studies of listed companies that implement restricted stock incentives have important theoretical significance and reality.significance.This article takes Dahua shares as the research object,first combs the domestic and foreign relevant literatures on the design and implementation of equity incentive schemes and restrictive stock incentives,and determines the necessity of this research;Relevant concepts and theoretical basis of the characteristics of restricted stock incentives;on this basis,the case analysis method was used to analyze the content and implementation effects of Dahua 's restricted stock incentive plan.The specific research content includes:first,based on the introduction of the basic situation of Dahua Stock Company,a detailed analysis of the main motivations for the implementation of equity incentives;second,the main content of the third phase of the restricted stock incentive plan,and the plan Comparison of factors;third,using the event research method and financial index analysis method,the implementation effects of Dahua 's restricted stock incentives were analyzed from the perspectives of market response,company financial performance,and changes in R & D innovation.Through the research on the implementation effect of case companies,it is found that the impact of restrictive stock incentives on the company is positive and positive,but there are still certain problems in the design and implementation process.The problem with the final analysis plan is: the selected performance evaluation indicators Incomplete,unreasonable setting of exercise conditions,short term validity of equity incentive plan,and unreasonable distribution of incentive objects.And put forward targeted improvement suggestions: improve the performance evaluation system,formulate reasonable exercise conditions,appropriately extend the validity period of equity incentives,expand the distribution range of incentive objects,to ensure the smooth implementation of equity incentives and improve the incentive effect.The research in this article helps companies to optimize the design of their equity incentive plans,and provides reference experiences for companies planning to adopt the same incentive model in the future.At the same time,it reminds these companies of issues that need attention in the process of formulating and implementing such equity incentives.