This paper investigates company characteristics associated with the adoption and maintenance of executive stock option plan （ESOP） proxied with the proportion of stock options. In order to develop and inform public ...This paper investigates company characteristics associated with the adoption and maintenance of executive stock option plan （ESOP） proxied with the proportion of stock options. In order to develop and inform public policies of executive stock options, it is important to understand some of the factors that will drive a company＇s decision in order to adopt an ESOP. First, an analysis evaluates what kind of company＇s characteristics is associated with these plans. Second, an analysis examines the company characteristics that predict the adoption of such plans. This paper contributes to that stream of accounting research by identifying several factors to the adoption of ESOP. The study finds that intellectual capital （consisting of human capital efficiency （HCE）, structural capital efficiency （SCE）, and capital employed efficiency （CEE））, risk, and financial constraints （FC） affect the adoption and maintenance of stock option plans, these conditions will be increasingly supported in companies that experience relatively rapid growth. HCE, risk, and FC are significant predictors of the adoption and maintenance of ESOP. The companies who have some difficulties in observing human capital＇s behavior are more likely to adopt executive stock options, and based on our theoretical review, this is a rational course of action. Firms with higher levels of business risks are less likely to shift some of the risks to employees through stock-based compensation, whereas firms with higher variability in total shareholder returns are more likely to adopt executive stock options. Overall, our results suggest that higher monitoring costs prompt firms to adopt and maintain ESOP.展开更多
As we are in the knowledge economy, the main purpose of this research is to define the value of relational capital by measuring it with an innovative model. To this end, this paper will explain the meaning of intellec...As we are in the knowledge economy, the main purpose of this research is to define the value of relational capital by measuring it with an innovative model. To this end, this paper will explain the meaning of intellectual capital （human capital, structural capital, and relational capital） in the field of knowledge economy and what relational capital is and how we can measure its value. The research is qualitative in nature and was developed through the study of the international literature. The research presents some theoretical evidences that permit defining a method for the evaluation of relational capital. In this direction, the above method will need to have some integration in the future research. Moreover, this approach should consider some empirical evidences to establish the practical value of the method. In fact, the method presented encourages debate and a critical attitude towards the evaluations of relational capital and intellectual capital.展开更多
文摘This paper investigates company characteristics associated with the adoption and maintenance of executive stock option plan （ESOP） proxied with the proportion of stock options. In order to develop and inform public policies of executive stock options, it is important to understand some of the factors that will drive a company＇s decision in order to adopt an ESOP. First, an analysis evaluates what kind of company＇s characteristics is associated with these plans. Second, an analysis examines the company characteristics that predict the adoption of such plans. This paper contributes to that stream of accounting research by identifying several factors to the adoption of ESOP. The study finds that intellectual capital （consisting of human capital efficiency （HCE）, structural capital efficiency （SCE）, and capital employed efficiency （CEE））, risk, and financial constraints （FC） affect the adoption and maintenance of stock option plans, these conditions will be increasingly supported in companies that experience relatively rapid growth. HCE, risk, and FC are significant predictors of the adoption and maintenance of ESOP. The companies who have some difficulties in observing human capital＇s behavior are more likely to adopt executive stock options, and based on our theoretical review, this is a rational course of action. Firms with higher levels of business risks are less likely to shift some of the risks to employees through stock-based compensation, whereas firms with higher variability in total shareholder returns are more likely to adopt executive stock options. Overall, our results suggest that higher monitoring costs prompt firms to adopt and maintain ESOP.
文摘As we are in the knowledge economy, the main purpose of this research is to define the value of relational capital by measuring it with an innovative model. To this end, this paper will explain the meaning of intellectual capital （human capital, structural capital, and relational capital） in the field of knowledge economy and what relational capital is and how we can measure its value. The research is qualitative in nature and was developed through the study of the international literature. The research presents some theoretical evidences that permit defining a method for the evaluation of relational capital. In this direction, the above method will need to have some integration in the future research. Moreover, this approach should consider some empirical evidences to establish the practical value of the method. In fact, the method presented encourages debate and a critical attitude towards the evaluations of relational capital and intellectual capital.
