Performance Feedback with Team Incentive: A Field Experiment in Chinese Factories

Karen Meng Li, Sang Hyun Kim

Research output: Contribution to journalArticlepeer-review


This paper employs a field experiment to investigate in which information environment team-based incentives work better. The experiment was conducted in two spinning factories in Henan, China. We focus on workers who were doing the same individualistic task but still were paid according to team performances. For about three months, we have given three different types of performance feedback, baseline, intra-team, and inter-team feedbacks. We find that workers’ productivity was highest with the intra-team feedback and lowest with the baseline feedback, which suggests that peer pressure and group status concern are of importance in making team incentives work.

Original languageEnglish
Pages (from-to)216-231
Number of pages16
JournalGlobal Economic Review
Issue number3
Publication statusPublished - 2022

Bibliographical note

Funding Information:
This research was (in part) supported by the Yonsei Signature Research Cluster Program of 2021 (2021-22-0011). We are grateful to Syngjoo Choi, Subhasish M. Chowdhury, Chulyoung Kim, Duk Gyoo Kim, SeEun Jung, Euncheol Shin, and the participants of the Experimental Economics workshop at Seoul National University 2019 for their valuable comments.

Publisher Copyright:
© 2022 Institute of East and West Studies, Yonsei University, Seoul.

All Science Journal Classification (ASJC) codes

  • Business and International Management
  • Economics, Econometrics and Finance(all)
  • Political Science and International Relations


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