Krista's organization uses a differentiation strategy.To encourage workers to bring knowledge, skills, and abilities to the job that can allow them to analyze problems and come up with creative solutions, Krista might adopt a(n) ________ organizational philosophy on compensation.
A)pay secrecy
B)above-the-market
C)at-the-market
D)competency-based pay
E)profit sharing

Question

Quizplus · Accepted Answer

Competency-based pay rewards employees based on their skills and abilities, rather than being tied solely to market or industry standards. This approach is often used in organizations that use a differentiation strategy, as it supports the development of unique skills and promotes innovation.

Krista's Organization Uses a Differentiation Strategy