Determinants of the adoption of executive stock options in china

Ming-Cheng Wu, Szu Lang Liao, Yi Ting Huang

Research output: Contribution to journalArticle

1 Citation (Scopus)

Abstract

This study examines the factors that determine the adoption of stock option plans by Chinese listed firms. The results show that adoption of executive stock option plans is positively related to return on assets, market-to-book ratio, and chief executive officer duality structures, but negatively related to debt ratio and state ownership. In addition, the adoption of a stock option plan results in significantly positive cumulative abnormal returns during the three-day period following the adoption announcement date.

Original languageEnglish
Pages (from-to)63-84
Number of pages22
JournalChinese Economy
Volume46
Issue number4
DOIs
Publication statusPublished - 2013 Jul 1

Fingerprint

China
Stock options
Executive stock options
Factors
Duality
Asset markets
Announcement
Return on assets
Chief executive officer
State ownership
Debt ratio
Cumulative abnormal return

All Science Journal Classification (ASJC) codes

  • Economics, Econometrics and Finance(all)

Cite this

Wu, Ming-Cheng ; Liao, Szu Lang ; Huang, Yi Ting. / Determinants of the adoption of executive stock options in china. In: Chinese Economy. 2013 ; Vol. 46, No. 4. pp. 63-84.
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Determinants of the adoption of executive stock options in china. / Wu, Ming-Cheng; Liao, Szu Lang; Huang, Yi Ting.

In: Chinese Economy, Vol. 46, No. 4, 01.07.2013, p. 63-84.

Research output: Contribution to journalArticle

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