Under closed-list proportional representation, a party's electoral list determines the order in which legislative seats are allocated to candidates. When candidates differ in their ability, parties face a trade-off between competence and incentives. Ranking candidates in decreasing order of competence ensures that elected politicians are most competent. Yet, party lists create incentives for candidates that may lead parties not to place their best candidates at the top of the list. We examine this trade-off in a game-theoretical model in which parties rank their candidates on a list, candidates choose their campaign effort, and the election is a team contest for multiple prizes. We analyze how the candidates’ objectives, voters’ attention and media coverage, incumbency, the number of parties competing in the election, and the electoral environment influence how parties rank candidates.