Research on the Impact of Equity Incentive to Executives and Types of Incentive on Firm Performance

Abstract

This paper selects A-share listed companies in Shanghai and Shenzhen from 2013 to 2016 as research samples. This study shows that: the equity incentive to executives and corporate performance present the relationship of inverted U-shaped; the salary incentive will positively affect the relationship of inverted U-shaped between equity incentives and corporate performance; the salary incentive will positively affect the relationship between incentive of restricted stock and corporate performance, and negatively affect the relationship between incentive of stock option and corporate performance.