This paper investigates the value of high-powered incentives for motivating search for novelty in business organizations. While organizational search critically depends on the individual efforts of employees, motivating search effort is challenged by problems of unobservable behavior and the...

The creation of novel strategies, the pursuit of entrepreneurial opportunities, and the development of new technologies, capabilities, products or business models all involve solving complex problems that require making a large number of highly interdependent choices. The challenge that complex...

Ideas from employees are a major source of value creation in firms, yet the merits of rewards for incentivizing the generation of ideas are highly contested. Using a computational model, we show that firms can improve performance by offering low-powered rewards for the selection and...