Research on the Incentives to Top Management Base on Data Mining Technology

Abstract

Prevention of the Moral Risks of Management is not only the key factor of Modern Enterprise System, but also one important issue of Corporate Finance and Human Resources Management. In this paper, we will start from the Principal-Agent Theory and Human Resources Management Theory, and we adopt Data Mining System to analyze 1276 listed companies in Shanghai and Shenzhen Stock Market, in order to explore the moral risks- preventing functions of combined - incentive mechanism applied to the management by companies in China's unique economic environment. So, we can provide important references for the owners of companies when they want to choose suitable incentive mechanism to reduce the moral risks of management.