Universität zu Köln

Friebel, Guido, Heinz, Matthias ORCID: 0000-0001-9635-1160, Krueger, Miriam and Zubanov, Nikolay ORCID: 0000-0001-9141-9330 (2017). Team Incentives and Performance: Evidence from a Retail Chain. Am. Econ. Rev., 107 (8). S. 2168 - 2204. NASHVILLE: AMER ECONOMIC ASSOC. ISSN 1944-7981

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Abstract

In a field experiment with a retail chain (1,300 employees, 193 shops), randomly selected sales teams received a bonus. The bonus increases both sales and number of customers dealt with by 3 percent. Each dollar spent on the bonus generates $3.80 in sales, and $2.10 in profit. Wages increase by 2.2 percent while inequality rises only moderately. The analysis suggests effort complementarities to be important, and the effectiveness of peer pressure in overcoming free-riding to be limited. After rolling out the bonus scheme, the performance of the treatment and control shops converges, suggesting long-term stability of the treatment effect. (JEL D22, J31, J33, L25, L81, M53, M54)

Item Type:	Journal Article
Creators:	Creators Email ORCID ORCID Put Code Friebel, Guido UNSPECIFIED UNSPECIFIED UNSPECIFIED Heinz, Matthias UNSPECIFIED orcid.org/0000-0001-9635-1160 UNSPECIFIED Krueger, Miriam UNSPECIFIED UNSPECIFIED UNSPECIFIED Zubanov, Nikolay UNSPECIFIED orcid.org/0000-0001-9141-9330 UNSPECIFIED
URN:	urn:nbn:de:hbz:38-223558
DOI:	10.1257/aer.20160788
Journal or Publication Title:	Am. Econ. Rev.
Volume:	107
Number:	8
Page Range:	S. 2168 - 2204
Date:	2017
Publisher:	AMER ECONOMIC ASSOC
Place of Publication:	NASHVILLE
ISSN:	1944-7981
Language:	English
Faculty:	Faculty of Management, Economy and Social Sciences
Divisions:	Center of Excellence C-SEB Faculty of Management, Economics and Social Sciences > Economics > Microeconomics, Institutions and markets > Reinhard Selten Institute
Subjects:	Economics
Uncontrolled Keywords:	Keywords Language HUMAN-RESOURCE MANAGEMENT; FIELD EXPERIMENTS; PEER PRESSURE; FIRM LEVEL; PRODUCTIVITY; PAY; COUNTRIES; WORKER; CONTRACTS; WORKPLACE Multiple languages Economics Multiple languages
Refereed:	Yes
URI:	http://kups.ub.uni-koeln.de/id/eprint/22355