Contract incentives are often used when the buyer wants to maximize some aspect of performance,such as finishing the project early or providing a higher level of quality.

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Contract incentives are designed to motivate the seller to perform better and achieve certain goals, such as completing the project ahead of schedule or delivering higher quality work. The incentives are usually tied to specific performance metrics and are intended to align the interests of the buyer and the seller, encouraging them to work together to achieve a successful outcome.

Contract Incentives Are Often Used When the Buyer Wants to Maximize