Research On The Effect Of Equity Incentives Of Listed Companies In Information Technology Industry

As the modern corporate governance system and organizational structure become more and more perfect,the principal-agent problem becomes the core problem of enterprise management.In order to solve such problems,people discover that equity incentive can solve the principal-agent problem well through continuous exploration and practice.But how does the implementation of equity incentive effect the company? What advantages can be learned in the implementation process,and what problems need to be improved? The discussion of these problems has strong practical value and theoretical significance.Based on the literature review of equity incentive,this paper first summarizes the current situation of equity incentive in information technology industry and analyzes the characteristics of equity incentive plan in the industry.Then with in the company for the specific case,a brief summary of case content,and response from short-term capital market,financial indicators,long-term effects and non-financial indicators of indirect effect in the face of the case analysis,it is concluded that in the equity incentive on the whole,improve the financial performance and non-financial performance of the conclusion part enterprise,namely the equity incentive can produce incentive effect to the enterprise.Finally,through analysis,it is concluded that there are some deficiencies in the equity incentive plan of YG Software,such as high personal payment pressure,unreasonable unlocking conditions and short incentive period.On the basis of the analysis and summary of the equity incentive case of YG Software,this paper gives the policy Suggestions to perfect the equity incentive scheme of China's listed companies: choose the appropriate equity incentive mode;Perfect the condition of unlocking(right to exercise);Extend the validity period of the incentive.We will improve policies and regulations on equity incentives.