The Impact of Employee Stock Option on Firm Performance：The Case on SEC ＆ OTC of Electronic in Taiwan

• Main Authors: Wen-Lin Chan, 詹文鈴
• Other Authors: Ming-Chin Lin
• Format: Others
• Language: zh-TW
• Published: 2005
• Online Access: http://ndltd.ncl.edu.tw/handle/586dx4

碩士 === 朝陽科技大學 === 財務金融系碩士班 === 94 === The Employee Stock Bonus (ESB) has implemented for a long time in Taiwan, it also causes many controversial issues. During the past four years, the Employee Stock Option (ESO) has become one of the compensation systems in Taiwan. According to previous literatures ESO benefits for the performance of the firms. Nevertheless, there has not been adequate evidence to demonstrate the ESO is helpful for company in Taiwan. This paper provides a test for the effect of ESO on firm performance. Date from publicly traded listed on the Taiwan Stock Exchange (TAIEX) during the period 2001-2004. Results indicate non-significance in 2001 , because its samples are not enough；other’s is strong evidence from 2002-2004,the firms with ESO have long term and short term performance higher than those without ESO. The higher the value of the ESO in proportion to out of total profit, firm performance is better. These findings support hypothesis that the ESO enhance employee’s incentives and benefit stockholder’s wealth. Eventually, there is an improvement upon firm performance.