The Role of Social Structure and Financial Incentives in Individual and Organizational Performance

Abstract

This dissertation investigates the role of individuals in firm strategy and performance by exploring how social factors at the individual-level combine with financial incentives to influence individual behaviors and performance. By drawing on unique proprietary datasets from two service settings, I investigate 1) how social affiliations between real estate listing agents and clients influence value creation, appropriation, and the types of transactions agents engage in, and 2) how corporate awards, which primarily reward individuals based off non-pecuniary social factors, are influenced by individual heterogeneity. The results of this dissertation suggest that a more nuanced view of the impact of social structures on individual and firm performance is needed. Moreover, the results suggest that focusing on the micro-macro links is important to both managers and to future theory in strategic management