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Acme Global Recognizes That Different Employees Have Different Compensation Needs

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Acme Global recognizes that different employees have different compensation needs when on expatriate assignments.Some may need compensation to pay for their children's education.Others may work in areas where they must pay high taxes.To avoid having to design an individualized pay package for every employee,Acme Global gives every expatriate employee a set amount for extra expenses.It appears Acme Global is using the ______ approach to expatriate compensation.


Definitions:

Equilibrium Point

A state in a market where the supply of goods matches demand, resulting in stable prices and quantities.

Total Revenues

The overall income received by a business from its operational activities, usually from sales of goods or services.

Price Elastic

Refers to the responsiveness of the quantity demanded or supplied of a good or service to a change in its price.

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