Research On The Effect Of Supor’s Equity Incentive

While the modern company system is constantly improved,it also gradually separates the ownership and management rights of the company.The problem of entrusted agency of the company is increasingly serious.In order to alleviate this situation,the equity incentive mechanism should sometimes arise.Since the birth of the equity incentive mechanism,it has been heated by scholars at home and abroad,on whether the equity incentive can really promote the improvement of enterprise performance,especially by the attention of the public.Since China’s listed companies have completed the equity separation reform,more and more listed enterprises have used the equity incentive system to mobilize the work enthusiasm of enterprise employees and promote the long-term development of enterprises.As a leading enterprise in the small home appliance industry,Supor has implemented four phases of equity incentive schemes.The equity incentive mode has experienced the transformation from the initial stock option to the restricted stock,so it is a strong representative of the case enterprise.This paper aims to find the shortcomings of the implementation process,and put forward the corresponding suggestions accordingly.Firstly,the research literature at home and abroad,and briefly describes the relevant concepts and basic theory of equity incentive.Secondly,it introduces the overview of the equity incentive scheme,and analyzes the changes before and after financial and non-financial dimensions.The financial dimension mainly selects the relevant data from 2004 to 2020 to vertically analyze the equity incentive effect from the four capabilities,and horizontally analyze the equity incentive effect by using the efficacy coefficient method.The non-financial dimension is mainly the research on the R & D investment,the stock market response and the departure of the incentive object,summarize the implementation effect of the equity incentive based on the above analysis,and put forward the existing problems.Finally,targeted improvement suggestions are put forward,that is,to enrich the performance assessment indicators combined with the enterprise strategic objectives,set the exercise conditions combined with the internal and external environment,appropriately increase the number of awards,and determine the award price combined with its own situation.