Tournaments represent an increasingly important component of organizational compensation systems. While prior research … focused on fixed-prize tournaments, i.e., on tournaments where the prize or prize sum to be awarded is set in advance, we …-prize tournaments, are based on relative performance, the prize to be awarded is not set in advance but is a function of the firm …

distributions are uncertain, models of ambiguity aversion suggest that tournaments may become more attractive than independent wage … tournaments and independent contracts, which are designed in a way that under uncertainty about output distribution (that is …, under ambiguity), ambiguity averse agents should typically prefer tournaments, while ambiguity neutral agents prefer …

the order to promote their performance. Tournaments in which agents compete for a bonus by investing effort, are … frequently applied, e.g., in development races, political contests, and promotion tournaments. The fallibility of evaluation …