LOCAL ADAPTATION VS. GLOBAL INTEGRATION OF PAY AND REWARDS PRACTICES AMONG MNCS
Anita Kyurova
Abstract
In view of the opposition between integration and adaptation processes in Multinational Companies (MNCs) the article poses the question of how their relationship does influence the compensation policy in organizations. On the basis of two case studies, the BrazilCo and India’s MNCs case study the article discusses the importance of their pay and rewards practices. The proposed illustrations finally emphasize the role of hybridization in view of the transfer of compensation strategies. In such a context, the concluding thoughts admit that cultural and institutional pressures influence MNCs when transferred in host countries which results in reformulation of their HRM strategies in order to be more adequate to the foreign business environment.
Keywords
multinational companies; pay and rewards; hybridization; business adaptation
JEL Codes: F42, M12
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