This information is available to all group members. This information is not available to the other departments unless the department wishes to reveal these costs. ADC is not necessarily equal to the projected departmental cost. The payoff to each member is a percentage of organizational profit. Each member of the group receives the same percentage of profit.
Organizational profit is the revenue minus the sum of the ADCs.
The group must decide which orders to fill in order to maximize payoff. The actual compensation received by each participant was in the form of a grade for this project. The Subjects Ninety junior and senior undergraduate business students in a business decision-making course were the subjects for the experiment. Participation in the experiment was not mandatory. All students, however, volunteered to participate.