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List and Explain the Three Basic Kinds of Compensation Decisions

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Essay

List and explain the three basic kinds of compensation decisions. Give two examples of what is involved in making each kind of compensation decision. What is a job evaluation? Which kind(s)of compensation decisions are job evaluations directly related to?


Definitions:

Privately Held

A company ownership structure where its shares are not traded on public stock exchanges and are instead owned by a smaller number of private investors.

Foreign Corporation

A corporation that is incorporated under the laws of a country different from the country where it conducts its operations.

Incorporated

A legal process used to form a corporate entity or company which is recognized as a legal person under the law.

Public Corporation

A company whose shares are publicly traded on a stock exchange, making its financial information available to investors, analysts, and the public.

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