Question

Which of the following trade-offs does a company need to consider with compensation management? Performance-reward Risk-reward...

Which of the following trade-offs does a company need to consider with compensation management?

  • Performance-reward

  • Risk-reward

  • Motivation-reward

  • Ability-reward

  • Behavior-reward

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Answer #1

Correct answer is Risk-reward

Agency theory states that companies need to consider risk-reward trade off when deciding pay plans

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