Reality of Stock Option Plan Operations

Author: [USA] National Center for Employee Ownership
Publisher:
Publish Date: 2005-08-01
Features: In my view, as China's economic reforms progress, stock options and other forms of employee ownership methods will provide employees with tremendous opportunities to share in the economic growth they help create. For Chinese companies, allowing employees to share ownership can foster a better understanding of the company's operations. This book introduces the experience of the United States, and I hope the relevant materials will provide insights and models for Chinese companies to use stock options as incentives. As Chinese companies gain more experience in this field, I believe that American companies can also learn valuable lessons from the practices of Chinese companies.
This book is based on the survey data of stock option incentives conducted by the National Center for Employee Ownership in 1998 and 1999, providing a comprehensive and systematic introduction to the stock option plans of U.S. companies. It covers various aspects, including the objectives of stock option incentives, types of options, the scope and quantity of incentives, the division of option allocation, the rationale and standards for stock option design, the execution and methods of options, as well as practical issues such as communication with employees and the development of corporate culture. The surveyed companies are widely distributed across different regions, industries, and company sizes in the United States.
For domestic companies currently in the exploration phase of stock option incentives, this book is undoubtedly an invaluable reference.