Research On The Effect Of Employee Stock Ownership Plan On The Performance Of High-tech Enterprises

High and new technology enterprises have the characteristics of high growth,high operational risk,and strong innovation ability.Therefore,technical research and development personnel are important "engines" for the high-quality development of high and new technology enterprises.The brain drain is an important problem that technology-based enterprises need to face.How to attract,retain,and effectively motivate talents is of great significance for the healthy and sustainable development of enterprises.As a pillar industry of scientific and technological development,semiconductor is highly irreplaceable.Against the background of foreign technology and equipment blockade of China’s semiconductor high-tech industries,how to break through the current situation and develop healthily is the main challenge facing enterprises at present.This article takes SMIC International’s employee stock ownership plan as an example to explore the path of the impact of employee stock ownership plans on the performance of semiconductor high-tech enterprises from multiple dimensions,analyze the short-term market performance after the implementation of ESOP,and analyze the implementation effects of ESOP horizontally and vertically.This article first combs the motivation,path,and effect of ESOP implementation.Secondly,it introduces the development status of semiconductors at home and abroad,the operation and development process of SMIC International,and the specific implementation plan of employee stock ownership plan.Thirdly,through three aspects of internal governance,employee incentive system,and enterprise innovation ability,this paper analyzes the specific path of the impact of employee stock ownership plans on SMIC International’s performance.From then on,the reaction of the stock market before and after the announcement of SMIC International was analyzed through the event study method;Using the financial indicator method to vertically analyze the impact of employee stock ownership plans on financial performance;Compared with enterprises of the same type that have not implemented ESOP,excluding the impact of industry factors,and comparing and analyzing financial performance with industry averages,summarize the overall impact of employee stock ownership plans on SMIC International’s performance.Finally,make a summary and analysis,and propose suggestions for relevant issues.Based on the above research,the following conclusions can be drawn: First,SMIC International’s Employee Stock Ownership Plan(ESOP)has a positive impact on short-term market performance.Within 15 days after the announcement of the ESOP,the excess return rate has significantly improved.It sends good news to the market,indicating the recognition of the stock market for SMIC International’s implementation of the ESOP.Secondly,using the financial indicator method to compare the financial performance of SMIC International horizontally and vertically.By comparing it with 5 companies in the same industry that have not implemented ESOP,it is found that except for no significant improvement in operating capacity,the other three indicators have significantly improved after implementing the employee stock ownership plan;It can be concluded that the implementation of ESOP by SMIC International can promote the improvement of financial performance.Thirdly,the implementation of ESOP promotes the convergence of interests between shareholders and employees,improving the agency efficiency of managers,and reducing agency costs;The company’s per capita income and profit generation have significantly increased,the R&D enthusiasm of research and development personnel has significantly increased,and the innovation ability has significantly enhanced.Finally,based on the above research,this article proposes prevention and optimization suggestions for some problems existing in SMIC International ESOP.The main contributions of this article are as follows:(1)This article constructs a mechanism model of employee stock ownership affecting corporate performance from three aspects: internal governance,enterprise innovation,and employee motivation,expanding the literature on the impact of ESOP on performance.(2)Analyzing its implementation effects from multiple perspectives not only provides some reference and suggestions for enterprises and investors,but also has reference significance for China’s high-tech enterprises,especially semiconductor listed companies,in designing employee stock ownership plans,and promoting the healthy development of the industry.