Intellectual Management

Principles of Reward Allocation

According to the Oxford dictionary, a reward is something that is given to someone to show honor and appreciation.  Mainly there are six principles of reward allocation which are discussed below, which include goal-setting, expectancy, reinforcement theories, and equity. These are the principles that guide major companies and organizations in implementing their reward and implementation programs to their employees.   

One of the principles of reward is expectancy. This is a theory that suggests that the performance and behavior of employees are significantly affected by the motivation they have and their future expectations (Scott, 2015). This principle significantly applies to individual employees rather than a group of workers and due to this, it motivates the lone employee and encourages the person to set individual goals and enables the person to come up with a plan to accomplish the goals. The expectancy theory is preferred by the individualistic culture since it mainly focuses on rewarding the efforts of an individual person.

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The equality principle focuses on the equality of the employees and is determined by the quality and quantity of the work done by them. The rewards are focused on the quantity and also the quality of the work done, as well as, taking into consideration other factors such as the level of skills and experience and education levels of an individual (Charles, 2014). Since this theory is solely based on the perception of an employee, it is preferred by the individualistic culture, mostly due to its emphasis on individual characteristics over group results (Darwin, 2015). The principle has no given standards for reward but considers how workers gauge their work efforts to that of their coworkers.

The goal setting principle suggests that workers have an obligation to meet the set organizational goals, as well as, their set individual goals in order to feel satisfied and competent in their workplace. The principle is both applicable in individualistic culture and collectivist depending on how someone will view the connections of a group outcome.

In the reinforcement principle, employees are advised to focus on the physical behavior that one can learn from the surrounding environment rather than psychological behavior that has a high chance of affecting the motivation of the workers (Stephine, 2015). Since behavior is a consequence of the underlying actions, the reinforcement principle is preferred by the collective cultures since it has effects on a large group of people for the actions of a single individual.

Effects of Dirty Tricks in International Negotiations

Cross-cultural negotiations are negotiations that take place between nations or between different cultures that are in the same country. Due to the urge to win and tune the outcome of the negotiation to the benefit of a given party, people involved in the negotiation may result to dirty tricks during their negotiation (Scott, 2017). Some of the commonly used dirty tricks are intimidation, personal attacks, take it or leave it, and lock in tactics. In a case of personal attacks, a person may result in making the negotiations personal where one uses words designed to make one uncomfortable to continue with the negotiations and shift their focus from the negotiations.

Although dirty tricks are known to greatly affect the outcome of negotiation to the favor of the party using the tactic, there are serious effects that come with it. They are non-ethical and they compromise the trust of the party using them. To a greater extent, dirty tricks compromise business relationships between trading parties since they are viewed as a way of winning deals at an expense of the other partner (Edward, 2009). Negotiators avoid the use of dirty tricks by conducting extensive research on the negotiation topic and thoroughly preparing for the negotiations. They should be able to detect dirty tricks and warn the other parties about their usage for a fair negotiation process to take place.

Vroom’s Expectancy Theory of Motivation

In vrooms expectancy theory of motivation, it focuses on expectancy level, valence, and instrumentality to determine the level of motivation in an individual.  The implications for vrooms expectancy theory in a multicultural environment is that it is very complex since it seeks to clarify the relationship between the organization’s goals and the individual goals (Darwin, 2015). Since it is not possible to measure valency in ratio form, it makes it hard to research and also to practice theory. The theory also states that the entire management process should be based on the motivation of an organization’s employee. Managers should use programs that are highly motivative to the employees in both rewarding and disciplining the workers. They should also engage in regular training in order to keep in touch with the latest developments in management and also to improve their relationships between them and the organization’s workers. However, critics of this theory disagree to the fact that if an employee is highly motivated and often rewarded for his work, that will make him increase his productivity level. 

Factors Leading to a Decrease in Performance in Individualistic Culture

According to a slew of research, it has been concluded that performance is significantly reduced in an individualistic culture in teamwork assignments. This is because individualistic culture encourages people to be self-dependent where they hardly cooperate with each other. In order to solve the problems associated with individualistic culture, multinational managers should focus on implementing a collectivist culture among their employees as this will encourage teamwork, which will hence result to an increase in the quality of work (Edward, 2017). In collectivist countries such as Japan and China, there is a great emphasis on work and family goals and objectives as compared to an individualistic community where people mainly focus on personal goals and desires.  For multinational managers to implement a collective culture, they should be able to familiarize themselves with the benefits associated with this administrative structure.

Companies in individualistic companies will hire an individual on the basis of the person’s individual achievements. Multinational managers should avoid this form of hiring process because it undermines any group achievements that an individual may have and which can greatly impact the company. Such groups that are of significant value but yet undermined by an individualistic culture include family, community organizations, and religious groups. 

Types of Transformational Leaders

Transformational leaders are those that are driven by the urge to bring change in existing systems and in how individuals carry out their activities. Although transformational leaders may have the same characteristics, which include setting relationships and influence, executing for results, and setting up strategies, there is a different type of transformational leaders for each cultural group (Darwin, 2015). Since the type of change that they want to bring in a community motivates these leaders, a number of them will focus on individual change, some will focus on idealized influence while other leaders will focus on inspirational motivation. A transformational leader who has the ability to gather people together and demonstrate his beliefs about a given topic can be said to be an influential transformational leader.

Such leaders are able to inspire and motivate a group of people that they lead and change how they perceive ideas into what the leaders believe in (Clifford, 2017). Such leaders also encourage intellectual thinking where they encourage their followers to think critically with the help of the knowledge the transformational leaders provide for them.  By also creating an environment that encourages change, the leaders are able to convince their subjects about new ways of doing business and entrepreneurship activities.

Counterproductive Inappropriate Leadership

Counterproductive leadership style is a leadership style where individual goals and objectives counter to run the set goals of an organization and the related behavior that can directly compromise the running of an organization. Such counterproductive behavior such as absenteeism, low turnover, workplace accidents, theft, and violence will greatly compromise the smooth running of an organization hence should be completely avoided in an organization that is focused on attaining its roles and objectives (Clifford, 2017). Due to these behaviors, employees become ineffective in their activities and will always work under keen supervision. The organization will have to go an extra mile of a supervision program that will enable them to monitor continuously the actions of the employees due to lack of trust. For a leader to reduce counterproductive activities in a work environment, there should be adequate motivation for the workers and a good communication system in the organization (Clifford, 2017). Workers should also be involved in the decision-making process of the organizations in order to increase productivity in their work.

Leadership Traits with Negative Effects on An Organization

Leadership style is key to an organization’s failure of success. Some of the leadership traits that negatively affect an organization include dictatorship, micromanagement, lack of accountability, and unclear objectives (Darwin, 2015). They not only affect the morale of the employees but also significantly reduce the performance of the workers. For multinational companies to be able to perform and compete internationally, they should be well managed in a system that encourages a free communication system within the organization. The workers should be able to raise their concerns without fear of victimization and the management should be able to clearly give guidelines and directions in an understandable way.

Democratic Leadership Style in High Power Distance Countries

Additionally, multinational managers should be able to understand subordinate expectations in order for them to lead effectively. This will enable then improve the relationships between workers and also make it easy for communication processes.  For a country with high power distance, a democratic leadership style will be appropriate for the country. This is because leaders will be able to involve the citizens in the decision-making process hence better-quality decisions will be made. Democratic leadership style will also enable consultations about other key factors that affect the country and improve relationships between the citizens and the leaders (Darwin, 2015). Democratic type of leadership would be the best since it is an all-inclusive type of leadership since each person’s opinion is taken into consideration before the final decision is made.

In conclusion, leadership is critical to the success of any given industry and company. For a multinational company with the goal of being able to compete on the international level, factors affecting employees such as reward and remuneration, motivation, and effective management should be a priority in order for the company to achieve its goals and objectives.  


Drucker, P. (2012). Management. Routledge.

Easterby-Smith, M., Thorpe, R., & Jackson, P. R. (2012). Management research. Sage.

Likert, R. (1961). New patterns of management.

Stevenson, W. J., Hojati, M., & Cao, J. (2007). Operations management (Vol. 8). Boston: McGraw-Hill/Irwin.

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