Scenario 15.1
From 2008, ForEx Inc. has shifted some of its operations to China and Malaysia, where production costs are considerably lower compared to Canada. Since then, 35 managers have been sent to those countries either on short- or long-term assignments to head up operations, conduct training and development, or just to oversee specific projects. Of the 35 managers only five were women, even though women make up 40 percent of the management team. Expatriates on long-term assignments are given financial incentives to offset any qualitative differences between the costs of living in the two locations.
-Refer to Scenario 15.1. Assume that ForEx will use the balance sheet approach to compensate expatriates. Which of the following is NOT one of the steps in this approach?

Question

Quizplus · Accepted Answer

The balance sheet approach to compensating expatriates typically includes adding incentive premiums, figuring cost-of-living adjustments, and adding assistance programs, but not calculating commission pay. Commission pay is not a standard component of the balance sheet approach, which focuses on maintaining an expatriate's standard of living through various adjustments and incentives.

Scenario 15.1 From 2008, ForEx Inc. Has Shifted Some of Its Operations