Research On The Impact Of Executive Compensation On The Growth Of Internet Financial Companies

Enterprise growth is an important basis for stakeholders to make enterprise decisions,while the key to enterprise growth is internal factors,especially management ability.As an emerging field combining traditional finance and Internet information technology,Internet finance enterprises have the characteristics of high risk,high growth and short establishment time.As the core management,the executives have a great impact on the core content of the initial values and enterprise culture,which is directly related to the growth of the enterprise.Compensation belongs to the direct interests of the executives,and the implementation of scientific and effective compensation system can maximize the potential of human capital to enhance the value of enterprises.Therefore,from the perspective of executive compensation,it is of great significance to discuss the relationship between it and the growth of Internet finance enterprises for further improving the growth of Internet financial enterprises.Based on the influence of executive compensation on the growth of Internet finance enterprises and the evaluation of enterprise growth,this paper starts with compensation related theories and content related to the growth of Internet finance enterprises,and constructs the executive compensation evaluation index and the Internet finance enterprise growth evaluation system,and makes an empirical analysis on the influence of executive compensation on enterprise growth by using the Catastrophe Progression Method and Fixed Effect Model.The main contents are as follows:Firstly,it clarifies relevant contents such as compensation and growth potential of Internet finance enterprises.This paper deeply understands the concept and composition of enterprise compensation,and analyzes the development status and characteristics of Internet financial enterprises.According to this,This paper expounds the specific performance of the growth of Internet financial enterprises,and analyzes the impact of different compensation of executives on the growth of Internet financial enterprises,which lays a theoretical foundation for the establishment of the evaluation index of executive compensation and the growth evaluation system of Internet financial enterprises.Secondly,it constructs the evaluation index system of executive compensation and the growth evaluation index system of Internet financial enterprises.On the basis of referring to the existing literature research,this paper determines the measurement index of executive compensation,constructs a comprehensive evaluation index system for the growth of Internet financial enterprises based on scientific,systematic and operable principles,and selects appropriate evaluation methods.Through sorting out and integrating various variables,this paper also constructs the influence model of different executive compensation on the growth of Internet financial enterprises.Finally,by using the established comprehensive evaluation index system and impact model of enterprise growth,this paper makes an empirical analysis on the growth of the sample enterprises of Internet finance and the impact of executive compensation on their growth,and puts forward corresponding policy suggestions for the regression results of the fixed effect model.