Incentive reward control: Based on the competitive advantage, transaction cost economics and organizational life cycle viewpoint

Article type: Research Article

Authors: Liao, Chin-Nung

Affiliations: Department of Business Administration, China Institute of Technology, Nankang, Taipei 115, Taiwan, R.O.C. Tel.: +886 2 27821862/214; Fax: +886 2 27864984. E-mail: lliao@cc.chit.edu.tw

Abstract: This paper linked the competitive advantage, transaction cost analysis and organizational life cycle model depicting an incentive reward system used in salespersons' control. This work intends to mark a contribution to filling the gaps of incentive reward control of salespeople in an organizational competitive advantage. In essence, author argues that the different strategy advantage and organizational life cycle should have a major impact on the application of incentive reward control. In addition, the managerial application (e.g., competition strategy and reward criterion base on product and customer) are discussed.

Keywords: Incentive reward control, transaction cost economics, competitive advantage, organizational life cycle, salespeople

DOI: 10.3233/HSM-2008-0673

Journal: Human Systems Management, vol. 27, no. 2, pp. 123-130, 2008