The general trend in executive compensation today is to decrease the relative importance of ________ and increase the relative importance of short- and long-term executive incentives.

Question

Quizplus · Accepted Answer

The general trend in executive compensation is to decrease the importance of base salary and increase the importance of short- and long-term incentives. This shift is intended to align executive compensation with company performance and shareholder value. While employee benefits, perquisites, and pension plans are still important components of executive compensation, they are not the focus of current trends. Commissions are typically associated with sales positions, rather than executives.

The General Trend in Executive Compensation Today Is to Decrease