In 1984, China introduced equity incentive system. With the continuous development and improvement of the system, more and more companies begin to regard it as an important measure to motivate the core employees and improve the performance of the company. A good equity incentive system can enable enterprises to attract talents, retain talents, and make talents play the most effective role for enterprises. By designing a good equity incentive system, the company can fully obtain funds and attract talents, bringing a series of positive effects, while high-tech enterprises are in need of a large number of research and development talents to promote the development of the company and improve the performance of the company. This paper will take Huawei as an example to explore the relationship between the equity incentive system of high-tech enterprises and the company's performance. As a successful high-tech enterprise, Huawei has successfully passed the financing difficulties and retained employees in several special stages through continuous improvement of equity incentive system in the development period. This paper mainly analyzes Huawei's tup equity incentive system, discusses the financial and non-financial aspects of the system to Huawei's performance impact, and summarizes the characteristics of the system, to bring reference experience to other high-tech enterprises.
Key words: high tech enterprise; Huawei; equity incentive; talent; company performance
