There have been many discussions in business regarding the relative merits or offering group or individual incentive plans. Research shows each option has its merits and drawbacks.
Group incentive plans
Advantages Disadvantages
Individual incentive plans
Advantages Disadvantages
Envisaging a position where I will become the owner of a Dance Club, my personal choice of incentive plan would be for the individual method. The reason for this is that in my view the personal and business sides of the human character respond best to a competitive situation. We set ourselves targets to better ourselves, and thus the expectation is that we will be rewarded for this.
We strive to be better than others to be the best in our chosen role, and we expect for this to be recognized. Whilst being a team player is important, being recognized for achievement is extremely important. A good example of this can be seen in sport, where soccer players play as a team, but like to be recognized and appreciated for their individual talents.
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