How compensation decisions impact stakeholders
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How does compensation decisions impact stakeholders, managers, and employees?
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Solution Summary
The solution lists nine examples of the effects of compensation decisions both inside and outside the company.
Solution Preview
Because stakeholders include managers and employees, I haven't differentiated between those two groups.
1. Increases in high level employee salaries would impact stockholders who would rather see the company make more money to increase the stock price.
2. The media might find certain salary decisions are abusive in terms of value of the individual. A recent example is ...
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