Relationship between the “Efficient Market Theory”, Performance, Incentives and Economic Value Added (EVA)

18 de octubre de 2011   | Vistas: 31 |   Capitalism Competition Economic Value Added (eva) Economy

Most successful companies in the market use incentive programs to increase productivity and by doing so, they raise net revenue. Joel M. Stern defies the common notion of this motivational mechanism and destroys market based incentive paradigms, which -he believes- create a free rider problem. By using empiric information, Stern describes his experiences with Economic Value Added (EVA) and explains several features of this useful resource. He describes how this technique can be used -as an alternative to the mechanisms mentioned before- in different types of companies, and focuses on the dynamics of innovation and efficiency. He insists on including every person in the company, who shouldn´t be called an employee but an factor of value creation instead.

Joel M. Stern is the creator and developer of Economic Value Added (EVA), Chairman and CEO of Stern Stewart &…


Nuestra misión es la enseñanza y difusión de los principios éticos, jurídicos y económicos de una sociedad de personas libres y responsables.

Universidad Francisco Marroquín