Examining the Impact of Cost Salience and Information Asymmetry on Incentive Contract and Project Manager’s Profit
Research Aim: The study will analyse the impact of subjective assessments of cost salience and project variability using the framework of uncertainty theory and principal agency theory. The study will examine the effect of these variables on a project manager’s profit. The research will be conducted using case study methodology, explicitly focusing on cases where project managers pay contractors over a menu of deadline-based incentive contracts to undertake a project broken into two sequential tasks.