L10 International dimension of C&B

Question 1

5 factors shaping the variation in international pay practices

Answer 1

1. Social contract
2. Culture
3. Trade unions
4. Ownership and financial markets
5. Managers’ autonomy

Question 2

Who are expatriates and why should they be hired?

Answer 2

• Individuals whose citizenship is that of employer’s base country
• Why hire them?
  
  • Broaden international perspectives
  • New ventures
  • Train locals
  • Need specific expertise
• How are they compensated?
  
  • Home country is standard + compensation for difficulty of the move