TY - JOUR

T1 - A Performance Motivator in one Country, A Non-Motivator in Another?

T2 - 65th Annual Meeting of the Academy of Management - AOM 2005

AU - Gunkel, Marjaana Anna Maria

AU - Lusk, Edward J.

AU - Wolff, Birgitta

N1 - Conference code: 65

PY - 2005/8/1

Y1 - 2005/8/1

N2 - The management of the 21st century faces the challenge of employing workforce in different countries. These employees have different preferences related to performance rewards. Our research employs 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 the incentive system as a motivational device in the organizational work environment. We have conducted an empirical study using an enriched form of Hofstede's cross-cultural questionnaire to examine employees of one MNC in China, Germany, Japan and the USA. Our results show that employees from these countries have different preferences on incentives and that incentive plans designed for one country might not even have motivating consequences in the others. We also find that the logic of diminishing marginal utility applies to certain rewards.

AB - The management of the 21st century faces the challenge of employing workforce in different countries. These employees have different preferences related to performance rewards. Our research employs 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 the incentive system as a motivational device in the organizational work environment. We have conducted an empirical study using an enriched form of Hofstede's cross-cultural questionnaire to examine employees of one MNC in China, Germany, Japan and the USA. Our results show that employees from these countries have different preferences on incentives and that incentive plans designed for one country might not even have motivating consequences in the others. We also find that the logic of diminishing marginal utility applies to certain rewards.

KW - Management studies

KW - Cross-national comparison

KW - Incentive compensation

KW - Performance rewards

U2 - 10.5465/ambpp.2005.18778934

DO - 10.5465/ambpp.2005.18778934

M3 - Conference article in journal

VL - 2005

JO - Academy of Management Proceedings

JF - Academy of Management Proceedings

SN - 0065-0668

IS - 1

Y2 - 5 August 2005 through 10 August 2005

ER -