Employee Stock Ownership Plans and Their Effect on Productivity: The Case of Huawei  - CLEO Skip to main content


Employee Stock Ownership Plans (ESOPs) are utilized by many successful companies across the world. This case study describes Huawei, a Chinese telecommunications equipment company, which heavily utilizes ESOP ownership, and applies Huawei’s results to describe ESOPs as a powerful tool for achieving corporate efficiency and growth. Using and analysis of Huawei’s annual reports, we argue that ESOPs play a positive role in enhancing employee productivity.

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