Difficulties in Setting Compensation Packages for Global Salesforces Include

question 55

Multiple Choice

Difficulties in setting compensation packages for global salesforces include:

• A)unions may restrict wage options.
• B)some cultures are not motivated to work harder regardless of monetary incentives.
• C)local firms may protest that the MNC is stealing the best talent with wages out of line with local standards.
• D)culture may dictate that people of the same rank should not be compensated differently regardless of performance.
• E)all of the above

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Definitions:

Convergence Theory

A hypothesis suggesting that societal and economic systems of different countries will grow more similar over time due to globalized trade and cultural exchanges.

Divergence Theory

A conceptual framework suggesting that differences in economic development, cultural practices, or societal norms will increase over time between groups or regions.

Breach of Contract

Refers to a legal violation where one party fails to honor their end of the agreement, allowing the other party to seek legal remedies.

Political Unionism

The participation and involvement of labor unions in political activities and lobbying in order to influence public policy for the benefit of workers.