When salespeople who are heterogeneous in abilities are assigned into teams, how do they adjust effort as the abilities of their coworkers change? Economic theory predicts that when salespeople compete with each other, the lower-ability salesperson strategically decreases effort as the ability...

Much of experimental research in marketing has focused on individual choices. Yet in many contexts, the outcomes of one’s choices depend on the choices of others. Furthermore, the results obtained in individual decision making context may not be applicable to these strategic choices. In this...