International Human Resource Mnaagemnt- examination

Answer Developing nations demonstrate great competition in the labor market and the unemployment rates in such nations also remain high. Under such conditions an incentive based system of pay would be effective in resulting into improved performance and making use of the high competition in the market. Moreover an important factor which causes low productivity of labor in developing nations is because they suffer from low motivation. The concept of motivation is linked to capacity and must be addressed and analyzed in all capacity levels, i.e., individual level, organization and enabling environment. Measures of incentives, like salaries, intangible rewards, secondary benefits, recognitions and sanctions are some of the conventional ways of motivating employees for increasing their