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innovation will lead to a much richer understanding of the interplay between firms’ incentives to innovate and competitive … pressure measured by product substitutability may decrease firms’ incentives to conduct continuous improvement, and that an … increase in the size of discrete innovation may decrease firms’ incentives to conduct continuous improvement. A unique feature …
Persistent link: https://www.econbiz.de/10005822187
We study the effects of a field experiment designed to motivate employee ideas, at a large technology company. Employees were encouraged to submit ideas on process and product improvements via an online system. In the experiment, the company randomized 19 account teams into treatment and control...
Persistent link: https://www.econbiz.de/10010884106
We investigate whether incentive schemes signal social norms and thus affect behavior beyond their direct economic consequences. A principal-agent experiment is studied in which prior to contract choice principals are informed about past actions of other agents and thus have more information...
Persistent link: https://www.econbiz.de/10010884174
controlling parties, while a large percentage of subordinates under-provide effort despite pecuniary incentives to the contrary …
Persistent link: https://www.econbiz.de/10010884366
Many large listed firms offer workers the opportunity to buy shares in the firm at discounted rates through employee stock purchase plans (ESPP). The discounted rate creates a gift exchange, where the firm hopes that workers who accept the gift reciprocate with greater loyalty and effort. But...
Persistent link: https://www.econbiz.de/10010959665
The behavioral relevance of non-binding default options is well established. While most research has focused on decision makers' responses to a given default, we argue that this individual decision making perspective is incomplete. Instead, a comprehensive understanding of the foundation of...
Persistent link: https://www.econbiz.de/10010959692
schemes designed to encourage either participation or volume. Our results confirm the importance of incentives in that we find …
Persistent link: https://www.econbiz.de/10011214026
tasks. We analyze the effects of the salience of incentives in a team production setting where the principal has an interest … incentive system without changing the incentive system. The results indicate that salience of incentives itself is statistically … and economically important for performance. We find that higher salience of incentives for quantity increases quantity …
Persistent link: https://www.econbiz.de/10011279295
We conduct a natural field experiment in a large retail chain to test basic predictions of tournament theory regarding prize spread and noise. A random subset of the 208 stores participates in two-stage elimination tournaments. Tournaments differ in the distribution of prize money across winners...
Persistent link: https://www.econbiz.de/10011279320
of incentives and when incentives can have “hidden costs”, i.e., a detrimental effect. We show experimentally that in all …'s behavior. Our finding contributes to the micro-foundation of psychological effects of incentives. …
Persistent link: https://www.econbiz.de/10011252294