Stock Option System: Theory · Practice · Reflection: Theory · Practice · Reflection

Author: Zhang Hongfeng
Publisher:
Publish Date: 2003-12-01
Features: The book has the following characteristics: , a complete theoretical system. The framework of the book consists of three parts: the theoretical section, the practical section, and the reflective section. These contents are relatively independent yet interconnected, forming a relatively complete theoretical system. Second, a relatively objective attitude. The book analyzes the usefulness of the stock option system at the technical level and its practicality under specific conditions; combining foreign practices, especially in the context of American corporate financial scandals, it examines the inherent flaws of the stock option system and proposes improvement ideas. It recognizes that problems in corporate governance structures, external regulatory systems, and accounting systems make the inherent flaws of the stock option system more prominent or render them ineffective. It believes that overcoming the inherent flaws of this system depends on establishing a reasonable corporate governance structure, improving the external regulatory system, and implementing stringent accounting systems, and the book conducts forward-looking research in these three aspects. Third, emphasis on the application of theory. The book focuses on examining real-world issues and has conducted extensive surveys and research on the implementation of stock options in China. On this basis, it provides a systematic elaboration on the practical issues of stock options in China and proposes policy recommendations. Fourth, a certain degree of innovation. For example, when proposing improvement ideas for the stock option system, the author incorporates cutting-edge research findings from abroad and, based on assimilation and digestion, presents her own views. The book also creatively proposes that the stock option system is not only an incentive mechanism for enterprises but also an effective financing method. Authored by young scholars Zhang Hongfeng and Kong Xianxiang, "Stock Option System—Theory, Practice, Reflection" is a forceful work that systematically reexamines the stock option system after the exposure of financial scandals in the United States and following the announcements by Microsoft and Citigroup to abandon the stock option system. The publication of this book will have a positive impact on the research and application of the stock option system in China, particularly in the construction of incentive and constraint mechanisms for state-owned enterprises.