Culture and team production

Team culture turns out to be a fundamental determinant for long term group performance. When income distribution is not completely egalitarian or the members of the team display heterogeneous levels of skills, there is an optimal culture that maximizes steady state team production and its characteristics depend on the specific distribution of income and skills. A high average productivity or a less egalitarian dispersion of remuneration require a more collectivist culture, while a high dispersion of individual productivity requires a more individualist culture.