Author(s)

Tianle Wang

Corresponding Author

Tianle Wang

ABSTRACT

This essay focuses on the ideal salary contract the companies should make if the amount of reward does not actually increase. This essay utilizes a lot of secondary resources as the base for research to learn about the ways that Tesla runs and how it corporates with its CEO. It will discuss the preference of CEOs and companies, and make a conclusion about how this contract might encourage CEOs to work harder and bring more profits to the company. This essay will discuss the reason for the high salary phenomenon for CEOs and thus analyze the way that might motivate CEOs to spend more effort on the work. Theoretically, the conclusion of this essay might provide a rationale for developing new corporation method. It can also provide more suggestion for the companies in real practice.

KEYWORDS

CEO, salary contract, motivation, profit