From a(n)_____ standpoint, the effect on performance motivation may be limited in ownership program because of the less obvious link between pay and performance.
A)agency theory
B)equity theory
C)efficiency wage theory
D)reinforcement theory
E)contract theory

Question

Quizplus · Accepted Answer

Under ownership program, employees will not realize any financial gain until they actually sell their stock (typically upon leaving the organization). The link between pay and performance may be less obvious under ownership than under profit sharing. Thus, from a reinforcement theory standpoint (with its emphasis on actually experiencing rewards), the effect on performance motivation may be limited.

From A(n)_____ Standpoint, the Effect on Performance Motivation May Be