Which of the Following Is a Disadvantage of Incentive Compensation

question 19

Multiple Choice

Which of the following is a disadvantage of incentive compensation plans?

• A) Employees know that a rise in productivity will have no impact on their compensation.
• B) Employees are taxed heavily on their income from incentive plans.
• C) Employers are taxed heavily on their expenditure incurred through incentive plans.
• D) Employees don't develop loyalty to their employers when incentive plans are practiced.
• E) Employers are unable to increase employee productivity while following incentive plans.

Identify the role of product positioning in consumer perception.

Recognize the critical elements involved in creating and maintaining a product image through advertising.

Understand the impact of personal selling on marketing channel members.

Identify various promotional strategies used by companies to enhance product visibility and appeal.

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Definitions:

Actively-Managed

A strategy where a fund's investments are frequently adjusted by a manager or management team in an attempt to outperform the market.

MSCI France Index

An index designed to measure the performance of the French equity market, representing large and mid-cap segments.

Diversified Portfolio

A mix of various types of investments (stocks, bonds, commodities, etc.) aiming to reduce risk through diversification.

ETFs

Exchange-Traded Funds, investment funds that are traded on stock exchanges, much like stocks, and hold assets such as stocks, commodities, or bonds.