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By F. John Reh, About.com Guide to Management since 1997

Don't Use Stock Options To Motivate

Friday March 17, 2006
From a management perspective, restricted stock is much better than stock options for motivating employees to think and act like owners. If you are considering stock options to reward your employees, or if you are looking for a better motivational tool, consider restricted stock grants instead of stock options. Read Restricted Stock Is Better Than Stock Options to learn how this tool encourages long-term thinking from your employee-owners rather than the short term, treasure hunt mentality of stock options.
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