Companies that try to improve employees’ performance by ........ rewards encourage negative kinds of behavior, instead of ........ a genuine interest in doing the work well.
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Think about how the second blank should promote a positive action to improve performance, like fostering positive behavior.
Step 1: "Withholding" makes sense as it refers to withholding rewards as a form of control or punishment. Step 2: "Fostering" fits as it means encouraging or promoting genuine interest in doing the work well. Step 3: The other options do not logically fit the context of improving performance through positive reinforcement.