In using the balance sheet approach to compensating expatriate managers, the term "incentive premiums" refers to which of the following concepts?
A) extra money for enduring the culture shock
B) offsetting the higher costs of overseas goods and services
C) compensating the managers for separation from family and friends and doing hazardous duty
D) covering moving, storage, and educational expenses

Question

Quizplus · Accepted Answer

Incentive premiums in the balance sheet approach are additional compensations given to expatriate managers for the challenges of being separated from family and friends and for undertaking potentially hazardous duties.

In Using the Balance Sheet Approach to Compensating Expatriate Managers