Incentive Preferences of Employees in Germany and the USA: An Empirical Investigation
AbstractThis study investigates performance reward preferences of employees in Germany and the USA. The investigation uses the following three constructs: The Institutional Framework and its formal and informal implications for incentive compensation, Diminishing Marginal Utility of individuals related to performance rewards, and Incentive Schemes as motivational devices in organizations. Our empirical investigation is based upon survey data collected from employees of a MNC in Germany and the USA using an enriched form of Hofstede?s cross-cultural questionnaire. Our results show that employees from these countries have different preferences on incentives and further that incentive plans designed for one country might have non-motivating consequences in the other. We also find that the logic of diminishing marginal utility applies to certain rewards. Referencing these results, we suggest a method for organizations to develop effective and efficient incentive systems.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Rainer Hampp Verlag in its journal Management Revue - The international Review of Management Studies.
Volume (Year): 16 (2005)
Issue (Month): 1 ()
Contact details of provider:
Web page: http://www.hampp-verlag.de/
Postal: Rainer Hampp Verlag, Marktplatz 5, 86415 Mering, Germany
Find related papers by JEL classification:
- F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
- J53 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Labor-Management Relations; Industrial Jurisprudence
- M10 - Business Administration and Business Economics; Marketing; Accounting - - Business Administration - - - General
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Baum, Matthias & Kabst, Rüdiger, 2013. "How to attract applicants in the Atlantic versus the Asia-Pacific region? A cross-national analysis on China, India, Germany, and Hungary," Journal of World Business, Elsevier, vol. 48(2), pages 175-185.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Rainer Hampp).
If references are entirely missing, you can add them using this form.