Study on the Key Factors of Executive Compensation in Companies of High-Tech

摘要

Based on companies of High-tech in 2006-2008 Shanghai and Shenzhen stock markets, by panel data processing method, this paper does an empirical research on the relationship among performance, governance mechanisms and executive compensation. The results indicate that Enterprises Performance and Executive Compensation have a significant positive correlation, while the proportion of independent director is negative related with it. It is suggested that Enterprises Performance is still the key factor of the Executive Compensation. Meanwhile, the governance mechanisms from independent director of High-tech can solve the problem of insider control, and make the agent cost lower.