A Study on Incentive of Innovation Talents of S&T Based on Indexed and Relative Stock Option Exercise Price

Incentive mechanism of stock option, which pursues tacit unite, is widely adopted to compensate innovation talents of S&T for their innovative activities, which are complex and uncertain, But there are thee uncontrollable factors, which can introduce incentive distortion, exist in the incentive chain between the performance of innovation talents and stock price raise. An indexed and relative stock option exercise price model based on relative performance, which brought the idea of performance rating in stock option incentive design, was given in this paper.