Analysis of the Motivation and Effect of HIKVISION's Continuous Equity Incentive

Author(s):  
Jianwei Ma ◽  
Ping Dong ◽  
Miao Tian
Keyword(s):  
Author(s):  
HAIYAN DUAN ◽  
KAMRAN AHMED ◽  
MARTHIN NANERE

We examine the effects of different types of executive incentives on technological innovation of declining firms and the moderating effects of the degree of decline and organisational slack on executive incentives and enterprise technological innovation. We also assess the synergetic effects of different types of executive incentives on technological innovation of declining enterprises. We find the following: first, executive compensation incentive, equity incentive and control incentives are beneficial to promote technological innovation in declining enterprises. Second, the degree of decline negatively moderates the relationship between equity incentive and technological innovation. Third, organisational slack positively moderates the relationship between equity incentive and technological innovation, as well as the relationship between control incentives and technological innovation, especially for severely declining enterprises. Fourth, there are synergistic effects between executive control incentive and compensation incentive, control incentives and equity incentive on technological innovation. The contributions are as follows: first, taking declining enterprises as sample, we suggest that to increase the role of compensation incentive and equity incentive in promoting technological innovation in declining enterprises, the control incentives should be strengthened. Second, organisational slack should be fully exploited for severely declining enterprises so that executives should have the motivation and conditions to carry out technological innovation and further help declining enterprises to turnaround successfully.


2018 ◽  
Vol 11 (11) ◽  
pp. 84
Author(s):  
Junda Yang ◽  
Yun Xia ◽  
Liu Yang ◽  
Xiaomei Chen

In recent years, in order to study the actual effect of equity incentives of the listed companies, Chinese scholars have mainly studied it from three aspects, including enterprise performance, manager behavior and market response. This paper analyzed the equity incentive plan scheme of Ninestar company, a private listed company in Zhuhai city, in detail, and made an analysis on the specific effects of Ninestar's equity incentive measures from the following three aspects: enterprise performance, manager behavior and market response. Finally, we put forward relevant suggestions from the perspective of corporate governance structure, providing beneficial reference for private enterprises in China to improve equity incentive measures.


2018 ◽  
Vol 5 (6) ◽  
pp. 101
Author(s):  
Junda Yang ◽  
Yun Xia ◽  
Liu Yang ◽  
Zhongtao Zhang

The study of the effectiveness of equity incentive has always been the focus of the academic circle. Whether it is foreign or domestic, there is no conclusive evidence at present. This paper is divided into three parts: Firstly, it summarized the literature research conclusion of equity incentive at home and abroad. Secondly, the author analyzes the incentive scheme and the implementation effect of the equity incentive scheme of the same-looking science and technology as an example. Finally, the author puts forward the feasibility of improving equity incentive measures for private enterprises in China.


2021 ◽  
Vol 14 (11) ◽  
pp. 46
Author(s):  
Luyao Huangfu ◽  
Fang Wang ◽  
Dan Liu ◽  
Nan Wu

Based on the panel data of Chinese listed companies in the information technology industry from 2007 to 2018, this paper uses a fixed-effect model to study the relationship between corporate performance expectation gap and strategic change and analyzes the moderating effect of private benefits of management control and equity incentive. It is found that the greater the gap between corporate performance expectations is, the lower the frequency of corporate mergers and acquisitions is, and the higher the frequency of corporate asset divestment is. Further research finds that private benefits of management control weaken the positive correlation between corporate performance expectation gap and asset stripping frequency. Equity incentive strengthens the negative correlation between corporate performance expectation gap and corporate mergers and acquisitions frequency, and the positive correlation between corporate performance expectation gap and corporate asset stripping frequency. Based on this, when enterprises carry out strategic change, enterprises should choose the direction of strategic change according to the degree of performance expectation gap, and promote the effective realization of strategic change by improving the governance of the board of directors and optimizing the management incentive mechanism.


2021 ◽  
Vol 235 ◽  
pp. 01025
Author(s):  
Jia Xu

With the advent of the blockchain era, employee incentives need to open up new ideas. The application of blockchain technology can promote the advantages of traditional equity incentive schemes and avoid weaknesses. Although there is still no mature ESOP on-chain solution on the market, and ESOP onchain still needs to consider a series of legal issues. The combination of equity incentives and blockchain technology is feasible. Due to the consensus mechanism of blockchain technology, grant and exercise information is recorded at each node on the chain. The implementation of the plan will be open and transparent throughout the process, avoiding the possibility of dark box operations. This is conducive to enhancing the credibility of the enterprise and enhancing employees’ trust in the enterprise, which can really play an incentive role.


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