Personal relations and their effect on behavior in an organizational setting: An experimental study
AbstractWe study how personal relations affect performance in organizations. In the game we use a manager has to assign different degrees of decision power to two employees, who then have to make decisions which affect the manager. Our evidence shows that managers favor employees that they personally know and that these employees favor the manager in their decisions. However, this behavior does not affect the performance of the employees that do not know the manager. These effects are independent of whether the employees that know the manager are more or less productive than those who do not know the manager.
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Bibliographic InfoArticle provided by Elsevier in its journal Journal of Economic Behavior & Organization.
Volume (Year): 73 (2010)
Issue (Month): 2 (February)
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Web page: http://www.elsevier.com/locate/jebo
Family firms Favoritism Corporate governance Procedural fairness Experiments;
Other versions of this item:
- Jordi Brandts & Carles Solà, 2006. "Personal Relations and their Effect on Behavior in an Organizational Setting: An Experimental Study," UFAE and IAE Working Papers 692.07, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
- C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
- D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
- M50 - Business Administration and Business Economics; Marketing; Accounting - - Personnel Economics - - - General
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