The research on the incentive mechanism of stock options of the electronic commerce in China: The analysis based on the human capital theory

Abstract

This study examines the incentive mechanism of stock option of Chinese electronic commerce companies. Our sample is measured between 2005 and June, 30, 2010, obtained from the equity incentive plan of Chinese electronic commerce listed companies. Based on the human capital theory, we empirically analyze the current situation of the stock option incentive mechanism of the electronic commerce as a whole. We find that the human capital theory can explain the establishment of the incentive mechanism of electronic commerce companies. And, compared to the central and western regions, the human capital plays a more important role in the equity incentive plan in the electronic commerce in eastern region