stock option incentive system

Author: Sun Yongsheng
Publisher:
Publish Date: 2002-08-01
Features: Implementing diversified compensation with long-term incentives for operators has become a critical need for deepening corporate reforms. Executive stock options, as a novel approach, are being implemented in China, marking a significant breakthrough in China's incentive theory. They represent an effective mechanism for addressing agency problems under the principal-agent framework and a strategic choice for achieving a "win-win" scenario between owners and operators in a market economy. This book covers the basic theory of executive stock options, the fundamental theory of the executive stock options system, international practices of the executive stock options system, the design of the executive stock options system, discussions on the executive stock options system in China, accounting operations for executive stock options, the recognition of executive stock options, the measurement of executive stock options, the disclosure of executive stock options, and relevant suggestions for accounting treatment of executive stock options in China.