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Why Do Profit-Sharing Plans Improve Organization Performance? the Reasons Why

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Why do profit-sharing plans improve organization performance? The reasons why profit-sharing plans would improve organization performance link to employee motivation theory.A profit-sharing plan will likely encourage employees to monitor each other's behavior because a "loafer" would erode the rewards for everyone.Moreover,profit-sharing should lead to greater information sharing,which increases the productivity and flexibility of the firm.Medium;Knowledge;Comprehension

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