Sales teams have little incentive to report low sales projections to their CEOs-prediction markets help to overcome this problem.

Question

Quizplus · Accepted Answer

Prediction markets provide an alternative way for information to be collected and aggregated from a variety of sources, including sales teams, without the bias that may occur in traditional reporting structures. By allowing employees to participate anonymously in a prediction market, they are incentivized to provide accurate information and predictions, which can ultimately benefit the company's decision-making processes. Therefore, prediction markets can help to overcome the problem of sales teams having little incentive to report low sales projections to their CEOs.

Sales Teams Have Little Incentive to Report Low Sales Projections