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Incentive effects of bonus taxes in a principal-agent model

Several countries have implemented bonus taxes for corporate executives in response to the current financial crisis. Using a principal-agent model, this paper investigates the incentive effects of bonus taxes by analyzing the agent's and principal's behavior. Specifically, we show how bonus taxes affect the agent's incentives to exert effort and the principal's...

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English / 01/01/2013

International R&D and Manufacturing Networks: Dynamism, Structure and Absorptive Capacity

We analyze the absorptive capacity (AC) process of a manufacturing company with central R&D and an internationally distributed manufacturing network. Prior research shows that an implementation of the lead factory (LF) is especially supportive if the international manufacturing network struggles with implementing new products and processes. We analyze determinants of AC and show...

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English / 01/01/2013

How to combine human resource management systems and human capital portfolios to achieve superior innovation performance

Firms generate new knowledge that leads to innovations by recombining existing knowledge sources. A successful recombination depends on both the availability of a knowledge stock (human capital pool) that contains innovation-relevant knowledge and the regulation of the knowledge flow through the application of human resource management practices. However, while human resource theory...

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English / 01/01/2013

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