Final answer:
Coordination is the term describing the effort by each participant in an activity with shared involvement, crucial for group productivity and involves effective communication to reduce transaction and conformity costs.
Step-by-step explanation:
The term used to describe the amount of effort exercised by each participant in performing an activity in which two or more parties have overlapping involvement is coordination. Coordination is essential when individuals or groups work together to achieve a common goal. Moreover, a successful coordination effort typically includes effective communication, clear delineation of responsibilities, and the establishment of procedures that help reduce transaction costs and manage conformity costs. For instance, in a collaborative environment, establishing expectations for communication, like frequency and modes of interactions, can bolster coordination and therefore enhance the overall group's effort and productivity.