Motivation, reward system and stock option in China and UK

Motivation , Reward System and Stock Option in

China and UK

Content Page Numbers

Abstract 3

Chapter 1 Introduction 4-8

Chapter 2 Literature Survey 9-14

Chapter 3 Motivation and Reward System in China and UK 15-25

Chapter 4 Stock Option 26-44

Chapter 5 Findings and Analysis 45-51

Chapter 6 Conclusion 52-57

Appendix - I 58

Bibliography 59-61

Abstract

Motivation and reward system is found in both UK and China corporate system . Such reward systems are necessary to motivate the employees

to increase the quality and quantity of production of their companies Further , it provides incentive to the employees to contribute to greater development of the company . However there are few differences between UK and Chinese motivation and reward systems . While in UK there has been flexible system of motivation , in China till recently the employees were not much motivated . However , with the introduction of reforms in China there have been great changes and attempts are made to motivate the employees . In UK , one popular method of motivation is the stock options which are given to top executives in the UK firms . However , in China although stock options are not unknown , they could not become popular because of the political and economic system that existed in the region However , recently attempts are being made to implement the stock options in the Chinese companies also . The study highlights the difference between motivation and reward system in China and UK through quantitative and qualitative analysis of the data Chapter 1

Introduction

In this study an attempt will be made to compare and contrast motivation system found in UK and China . In both the countries incentive system can be found in the form of reward system and stock option . In the present age of globalization it is important to analyze the ways to provide incentive to the employees so that they would contribute to increase in the production and profits of the company . Hence , the companies have realized the need for giving incentive which is given in the form of rewards . Rewards comprise the incentive systems such as promotions and stock option . Among these two categories stock option has emerged as the latest method of providing incentive to the employees particularly in the profit making multinational companies . In the present work China and UK are taken up for study because this study has potential of leading the researchers to new dimensions in the study of reward system . There are various ways to manage the human resources . These different methods for example , relate to positive methods and negative methods . The positive methods refer to the incentives while the negative systems refer to the punishments . It is important to remember that sometimes even punishments can act as an incentive . However , in this work it will be argued that promotions and stock options are the most important methods used by the companies in both UK and China to motive the employees . However , there are various differences between the two regions

This study has taken up China and UK because...