A Reward System That Accentuates Positive Rewards for Good Performance

question 25

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% 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:

Merchandise Sold

The total goods that have been sold by a company, typically measured over a specific period like a fiscal quarter or year.

Physical Inventory

The process of counting by hand the actual inventory of a business at a specific point in time.

Net Income

The net income of a business following the deduction of all costs, taxes, and expenses from its total earnings.

Gross Profit Rate

The gross profit rate is a financial metric indicating the percentage of revenue that exceeds the cost of goods sold, showcasing the efficiency of a company in managing its production costs.