Strategy Driven

APRIL 26, 2019

What would this do to the company’s valuation? Selling one’s company to an ESOP, an employee stock ownership plan, does just that. Selling to an ESOP preserves company culture and increases productivity, which generally ensures strong future performance. How does an ESOP work?

ESOP 51

ESOP Learning-by-Doing Banking Morale 51

Harvard Business Review

DECEMBER 13, 2016

For instance, individuals who become part of all-employee share ownership plans (ESOPs) are given tax breaks to own their company’s stock. The introduction of ESOPs changed the equation by giving employees a financial stake in their firm that came with voting rights and opportunities to participate in company governance.

ESOP 8

ESOP Productivity Products Incentives 8

Harvard Business Review

SEPTEMBER 24, 2015

The gaps between what CEOs earn and what workers do are startlingly large around the world. At Huawei’s inception, Zhengfei designed the Employee Stock Ownership Plan (ESOP). In light of that reality, Zhengfei felt that not owning the company was also the least dangerous thing for a founder to do.

Case Study 8

Case Study ESOP Incentives Long-term 8