The Impact of Rewards on Motivation

Abstract

The lengthy discussion over the impact of financial com- pensation on creative performance is still going on. Money rewards have both positive and bad effects on creative performance, according to re- search. We assert that the impact of monetary rewards on creative per- formance is moderated by a person’s motivational orientation. It was demonstrated in an experiment that there are two unique causal pathways that can affect creative performance. People who are motivated primarily by extrinsic incentive and those who are motivated primarily by intrinsic motivation appear to follow different courses. Further research is neces- sary to determine exactly how motivational orientation influences the connections between monetary incentive and creative performance. How- ever, this study offers some new information and research directions.