General Studies · Organisational Behaviour
A firm introduces a policy where employees receive rewards only if both individual targets and team outcomes are achieved simultaneously. Over time, high performers feel constrained, while average performers benefit disproportionately. Which motivation theory best explains this reaction?
- 1Goal-setting theory
- 2Equity theory✓
- 3Reinforcement theory
- 4Expectancy theory
Correct answer
Equity theory
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