A Cross-National Investigation of Incentive Sales Compensation

M. SEGALLA, D. ROUZIES, M. Besson, B. Weitz

International Journal of Research in Marketing

December 2006, vol. 23, n°4, pp.419-433

Departments: Management & Human Resources, GREGHEC (CNRS), Marketing

Why do managers choose one sales compensation form rather than another? Theoretical answers typically focus on the type of plans managers should design, not on the factors that managers actually consider. Managers from various national origins pursue and weigh objectives through experience in a way that theoretical models may not capture. Incorporating conceptualizations from a wide range of disciplines, we specify a model examining the influence of cultural factors on sales compensation decisions of managers (incentive vs. fixed pay and parity vs. equity allocation). The model, tested with data collected from bank managers across six European countries, illustrates the importance of considering national culture when designing sales force compensation policies applied across multiple countries. We also find evidence that most European bank managers accept incentive pay to motivate salespeople but, perhaps paradoxically, overwhelmingly reject equity allocations to achieve control and parity. We discuss the implications of our findings for research on international governance systems and the diffusion of sales force management practices Keywords: Distributive justice; Compensation; Performance pay; Sales force management; National culture

A Configural Approach to Coordinating Expertise in Software Development Teams


MIS Quarterly


Departments: Informations Systems and Operations Management, GREGHEC (CNRS)

Keywords: Software development, software teams, expertise coordination, configuration, centralization, knowledge tacitness, team conflict, coordination success

Despite the recognition of how important expertise coordination is to the performance of software development teams, understanding of how expertise is coordinated in practice is limited. We adopt a configural approach to develop a theoretical model of expertise coordination that differentiates between design collaboration and technical collaboration. We propose that neither a strictly centralized, top-down model nor a largely decentralized approach is superior. Our model is tested in a field study of 71 software development teams. We conclude that because design work addresses ill-structured problems with diverse potential solutions, decentralization of design collaboration can lead to greater coordination success and reduced team conflict. Conversely, technical work benefits from centralized collaboration. We find that task knowledge tacitness strengthens these relationships between collaboration configuration and coordination outcomes and that team conflict mediates the relationships. Our findings underline the need to differentiate between technical and design collaboration and point to the importance of certain configurations in reducing team conflict and increasing coordination success in software development teams. This paper opens up new research avenues to explore the collaborative mechanisms underlying knowledge team performance.

A Legal Analysis of Packaging Standardisation Requirements Under EU Law - The Case of ‘Plain Packaging’ in the United Kingdom


Journal of Business Law


Departments: Tax & Law, GREGHEC (CNRS)

A Mathematical Turn in Business Regulation: The Rise of Legal Indicators


International Journal of Law in Context


Departments: Tax & Law

A Model of Mental Accounting and Reference Price Adaptation


Management Science


Departments: Informations Systems and Operations Management

Keywords: Mental accounting, reference price, loss aversion, sunk-cost fallacy, payment depreciation, reluctance to trade, flat-rate bias.

Achieving High Growth in Policy-Dependent Industries: Differences between Startups and Corporate-Backed Ventures


Long Range Planning


Departments: Strategy & Business Policy, GREGHEC (CNRS)

This research examines which firms achieve high growth in policy-dependent industries. Using the European solar photovoltaic industry as our empirical setting, we investigate the impact of policy support on the growth of independent startups and corporate-backed ventures operating across countries with diverse policy conditions. We find that producers' growth is positively linked to policy generosity, and negatively linked to policy discontinuity. Moreover, corporate-backed ventures are less affected by policy generosity compared to entrepreneurial startups, and less impacted by policy discontinuity as well. Our results underline the importance of country- and firm-level differences in analyzing firms' response to regulatory policies, and point to the need for a better understanding of the unintended consequences of policies designed to support new industries.