Research on the Effectiveness of Top Management Compensation Encouragement in Driving Biopharmaceutical Enterprise Performance

摘要

In this paper, we study the effectiveness of top management compensation encouragement in driving biopharmaceutical listing enterprise performance in 2006-2008. The results show that percentage of the total compensation in the average annual market value of top management shareholding, per capita total compensation of top management and growth rates of per capita total monetary compensation that top management obtains can promote firm performance significantly. When the population proportion of top management that owns stock is low, the top management stock ownership has a negative impact on firm performance.