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Executive compensation

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Discuss your position on executive compensation. Is executive compensation excessive or appropriate? Support your answer with examples.
200-300 words

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Solution Summary

This solution provides an explanation of executive compensation and whether it is appropriate.

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Executive compensation is the compensation that an executive in an organization receives . Furthermore, executive compensations has increased dramatically in recent years. The executive compensation is normally determined by the Board of Directors of said organization. The executives usually receive a base salary, then on top of that salary they receive a bonus or incentive.

I think that if a company is run legally and appropriately, then executive compensation is appropriate. However, I also believe that if an executive is merely relying on his laurels and not putting the effort in to improve the company, then in such sense, he or she should not receive said compensation. Many times the executives will work their employees to the bone and then reap the benefits, without providing the employees who are completing the work any actual "extra" compensation. Furthermore, if an ...

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