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A Game Theory Analysis Of Team Based Incentivization In Retailing, Don Shemwell

Atlantic Marketing Association Proceedings

The connection between incentives and outcomes has long found consistent support in management literature generally (Bartol and Hagmann 1992; Miller & Schuster 1993; Swinehart 1986) and retailing in particular (Banker et al. 1996; Team Pay Case Studies 1997). Later meta-studies strongly support this view. (Condly, Noe and Jackson 2002; Garbers and Konradt 2014). Yet, providing performance-based incentives, at least for rank and file retail employees, still is not common in U.S. retailing and team-based incentives are even rarer.

The next section of this manuscript describes some of the issues with individualized commissions, which though not prevalent in a many product …