Using goal-setting theory as your framework, devise an incentive system that would maximize performance—in this case meaning careful attention to mosquito control. Explain and justify your strategy.

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
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Question

Peter Nygard owns a large estate in the Bahamas that is used to entertain. In one
example of goal setting “Nygard style,” the CBC reported that Nygard had asked that
groundskeepers ensure mosquitos were controlled in the resort through fogging and other
chemical controls. The tennis courts were especially prone to mosquitos, and Peter had
instituted a simple system: Every time a guest was bitten by a mosquito while playing tennis he would fine the groundkeeper on shift at the time. Fines ranged from $5 to $15 per
incident. This incentive system was ultimately deemed illegal, because multiple fines
might easily result in employees making little to nothing for their work. In interviews collected by the CBC, some employees commented that the complex system of fines (of
which the mosquito fines were just one example), combined with the vulnerability of the
workers and Peter’s frequent rages and abusive behaviour, created working conditions
comparable to slavery.

Discussion Questions

1. Using goal-setting theory as your framework, devise an incentive system that would
maximize performance—in this case meaning careful attention to mosquito control.
Explain and justify your strategy.

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