Inducement Prizes and Innovation — HBS Working Knowledge – Interesting study of the values of cash prizes and incentives in a different setting than health care, nevertheless, echoing data about financial incentives in other contexts.
The findings offer guidance for current invention competitions. While the biggest competitions presuppose that inventors are fueled by the possibility of cash prizes, the evidence suggests that they are more fueled by the possibility of publicity–and the idea that winning will make it easier to market the prize-winning product.