Organizations that pay higher wages and salaries than competing firms use a ________.
A) indirect financial compensation policy
B) going rate followers
C) pay followers
D) market lead policy

Question

Quizplus · Accepted Answer

D)Companies that pursue a market lead policy are organizations that pay higher wages and salaries than competing firms.Using this strategy,they feel that they will be able to attract high-quality,productive employees and thus achieve lower per-unit labor costs.Higher-paying firms usually attract more highly qualified applicants than lower-paying companies in the same labor market.

Organizations That Pay Higher Wages and Salaries Than Competing Firms