Artikel

Incentive preferences of employees in Germany and the USA: An empirical investigation

This 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.

Language
Englisch

Bibliographic citation
Journal: Management Revue ; ISSN: 1861-9916 ; Volume: 16 ; Year: 2005 ; Issue: 1 ; Pages: 81-98 ; Mering: Rainer Hampp Verlag

Classification
Management
Subject
institutional framework
incentive compensation
USA
Germany
performance eewards
Leistungsmotivation
Leistungsentgelt
Deutschland
USA

Event
Geistige Schöpfung
(who)
Rehu, Marjaana
Lusk, Edward
Wolff, Birgitta
Event
Veröffentlichung
(who)
Rainer Hampp Verlag
(where)
Mering
(when)
2005

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

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Object type

  • Artikel

Associated

  • Rehu, Marjaana
  • Lusk, Edward
  • Wolff, Birgitta
  • Rainer Hampp Verlag

Time of origin

  • 2005

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