Abstract
Mental accounting is one of the important contents of behavioral finance research, and there is a close connection mechanism between it and compensation incentive. As people's subconscious cognitive process of money classification, recording, management, and evaluation, mental accounting can affect employees' cognitive feelings of enterprise compensation. Whether it can play the role of compensation incentive needs to explore how to establish an effective employee mental accounting. The psychological law reflected by the cognitive process of mental accounting in this paper has its particularity. Studying the cognitive process of employees' compensation management from this perspective can provide effective support for the accurate implementation of enterprise compensation incentive.
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