A Reward System That Accentuates Positive Rewards for Good Performance

question 55

Multiple Choice

A reward system that accentuates positive rewards for good performance

• A)works best in strong culture organizations, while negative motivational approaches and reward systems tend to be most successful in weak culture organizations.
• B)is especially effective in aligning the well-being of organizational members with achieving the company's performance targets; reward systems with negative elements tend to be very dysfunctional in motivating employees.
• C)seldom works very well because the threat of denying rewards to sub-par performers is typically the most powerful motivator.
• D)works fine so long as 100 percent emphasis is placed on monetary incentives.
• E)has considerable appeal because when cooperation is positively enlisted and rewarded, rather than strong-armed by orders and threats (implicit or explicit), people tend to respond with more enthusiasm, dedication, creativity, and initiative.

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Definitions:

Interest Rate

The amount charged by a lender to a borrower for the use of assets as a percentage of the principal.

Profit

Profit denotes the financial gain achieved when the amount of revenue gained from a business activity exceeds the expenses, costs, and taxes needed to sustain the activity.

Capital Goods

Long-lasting goods acquired or created by businesses to produce other goods or services, including machinery, buildings, and equipment.

Consumer Goods

Products that are purchased for consumption by the average consumer, including durable goods, non-durable goods, and services.