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| Author: | Montemayor, E. |
| Title: | Gongruence between pay policy and competitive strategy in high-performing firms |
| Journal: | Journal of Management
1996 : VOL. 22:6, p. 889-912 |
| Index terms: | MANAGEMENT COMPETITION INCOMES POLICY |
| Language: | eng |
| Abstract: | Based on existing strategic compensation theory, this study examines seven theoretical propositions concerning the link between business-level competitive strategy and pay policy. Canonical discriminant analysis of 261 responses to a national survey show that high-performing firms whose strategy is dominated by Cost Leadership, Innovation , or Differentiation tactics adopt different pay policies. Further analysis shows that inferior firm performance is associated with the lack of fit between pay policy and business strategy. |
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