Open AccessInfluential Factors Of Executives Equity-Based Revenue In Chinese-Listed Companies
Author(s) -
Lei Li,
PierreYves Sanséau
Publication year - 2013
Publication title -
journal of applied business research
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.149
H-Index - 22
eISSN - 2157-8834
pISSN - 0892-7626
DOI - 10.19030/jabr.v29i2.7645
Subject(s) - business , restructuring , equity (law) , equity capital markets , equity risk , revenue , accounting , incentive , finance , china , economics , private equity , market economy , political science , law
In the Chinese context of economic reform and restructuring to establish the modern corporate system, new models of executives equity-based revenue are tested. Stock option income is currently becoming a critical part in the whole package offering to the executives. In this research, we examine the influential factors of executives equity-based revenue in 127 Chinese-listed companies. It appears that business performance is positively related to executives equity-based compensation, that there is no significant correlation between executives equity-based compensation and corporate size, that industry is an influential factor of executives equity-based compensation, and that there is no significant correlation between executives equity-based compensation and tenure. Based on these findings, we suggest future improvements to establish a healthier equity incentive system in China.