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CEFR C2 — Proficiency

Incentive

Definition

(formal) A thing that motivates or encourages someone to do something, often by providing a reward or benefit; a stimulus to action or effort, especially one that is financial or material. Typically used in contexts of economics, business, and organisational behaviour.

Example Sentences

1The company offered a significant incentive to employees who met their sales targets, in the form of a substantial bonus.
2Research has shown that intrinsic incentives, such as personal satisfaction and enjoyment, can be more effective motivators than extrinsic incentives, such as financial rewards.
3The new tax policy aims to provide an incentive for businesses to invest in renewable energy by offering generous subsidies and tax breaks.
4The incentive structure of the organisation was redesigned to encourage collaboration and teamwork, rather than individual competition.
5There is ongoing debate among economists about the effectiveness of monetary incentives in stimulating economic growth, with some arguing that they can have unintended consequences.

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