An incentive conflict occurs when a person is confronted with a dilemma involving multiple positive or negative incentives. According to Lewin (1935), three types of motivational conflicts are distinguished, often supplemented by a fourth variant. These conflicts arise from appetence (attraction) and aversion (avoidance need):
- Appetence-Appetence Conflict: This occurs when a person has two attractive alternatives, but both exclude each other. For example, this happens when a person must choose between two equally attractive job offers.
- Aversion-Aversion Conflict: This conflict arises when a person must choose between two undesirable alternatives. An example would be a person who must decide whether to take on an unpleasant task or accept a salary reduction.
- Appetence-Aversion Conflict: This occurs when a person has to make a decision about something that has both attractive and undesirable aspects. For instance, this happens when a person is considering whether to accept a temporary overseas job offer; on one hand, they are drawn to the new challenges, but on the other, they fear jeopardizing a long-term relationship.
- Double Appetence-Aversion Conflict: This conflict occurs when a person has two alternatives, each with both positive and negative aspects.
Incentive conflicts can neutralize the intended effects of incentive systems. For HR management, this means that if a person cannot be motivated to perform a certain behavior, it is important to assess whether an incentive conflict exists and, if necessary, resolve it.
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