| Due to the separation of the company’s management and ownership,the information asymmetry between the principal and the agent further leads to the principal-agent problem.In order to better improve the corporate governance system and manager system,more and more companies begin to implement equity incentive for employees,hoping to better combine and unify the interests of employees and enterprises through this way.With the continuous development of equity incentive system,enterprises have also noticed that equity incentive can not only avoid the short-sighted behavior of management in decision-making,but also better retain and attract talents,better promote the sustainable value brought by employees for enterprise operation,and improve the innovation performance of enterprises.For enterprises in the photovoltaic industry with fierce competition,innovation ability is an important and decisive factor for the development of enterprises.How to promote each link of the innovation process to improve their innovation ability and bring sustainable value to enterprises is a problem facing enterprises at present.As a leading company in the photovoltaic industry,Longi has successfully implemented two equity incentive schemes,and the third one is under implementation.Taking Longi AG as an example,this thesis analyzes the impact path of equity incentive on innovation performance through the analysis of the three aspects of innovation input,innovation output and innovation efficiency,and finally selects the company’s as well as the industry average data of R&D input,personnel situation and operating income from 2013 to 2021,and uses literature combing method,case study method,data envelopment analysis and comparative analysis method to investigate Longi’s equity incentive The following conclusions were drawn from the analysis: the motivation and content of LONGi’s equity incentive plan and the impact on innovation performance.The following conclusions were drawn from the analysis: both of the equity incentives implemented by Longi achieved the expected results and had a positive impact on the innovation input,output and revenue generation of the company,consolidating its position as a leader in the industry.However,the overall effect of the implementation of the second equity incentive is better than that of the first one.Therefore,this thesis concludes that the implementation of equity incentives for core technical personnel is more conducive to the improvement of innovation input,innovation output and innovation efficiency,and the maintenance of the leading position of the company,while the implementation of equity incentives for top management has limited effect on the innovation process and the subsequent motivation declines more quickly.Therefore,for enterprises in the photovoltaic industry,they should focus on the number of incentives for core technical personnel and increase the proportion of core technical personnel in the incentive targets,so as to better utilize the incentive effect of equity incentive and enhance the innovation motivation of enterprises.In addition,Longi failed to establish a long-term equity incentive,and failed to implement the third phase of equity incentive in time after the first two phases of equity incentive,and the innovation performance of Longi decreased significantly in that year.Based on the above problems in the implementation of equity incentives,this thesis proposes five suggestions to increase the incentive intensity of core technical staff,improve the individual performance appraisal system,establish a sound long-term incentive mechanism,improve the performance appraisal standard and enrich the equity incentive model,hoping to provide experience for enterprises in the PV industry. |
