%0 Journal Article
%T An Empirical Study on the Effects of Equity Incentive of the Listed Corporations in the SME Board of China<br/> ¡ªAn Empirical Analysis Based on the View of Earnings Management
%A Lixin Xu
%A Wenqin Cui
%J Technology and Investment
%P 26-31
%@ 2150-4067
%D 2014
%I Scientific Research Publishing
%R 10.4236/ti.2014.51004
%X <p class=\"MsoNormal\" style=\"text-align:justify;\">
	<span style=\"font-family:Verdana;\" lang=\"EN-US\">Currently, most researches are focus</span><span style=\"font-family:Verdana;\" lang=\"EN-US\">ing</span><span style=\"font-family:Verdana;\" lang=\"EN-US\"> on</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">Shanghai</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">&amp;
Shenzhen exchange, and few researches have been done on the SME board. Besides,
while studying the effect of equity incentive, most of the researchers have
ignored the earnings management triggered by stock</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">ownership</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">incentive.</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">This
paper takes the SME board companies which have implemented stock</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">ownership</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">incentive
as the research object. We have used earnings management to modify the company
performance and carried out an empirical research to study the effect of stock</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">ownership</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">incentive.
Our result shows that</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">without earnings management</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">to modify the
company performance, stock</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">ownership</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">incentive is
positively related to company performance</span><span style=\"font-family:Verdana;\" lang=\"EN-US\">. </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">Taking the
earnings management into account, the positive correlation relationship between
stock</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">ownership</span><span lang=\"EN-US\"> </span><span style=\"font-family:Verdana;\" lang=\"EN-US\">incentive and company performance will be weakened, and
stock ownership incentive will stimulate earnings management.</span>
%K Equity Incentive
%K SME Board
%K Company Performance
%K Earnings Management
%U http://www.scirp.org/journal/PaperInformation.aspx?PaperID=42939