Market Competitiveness Research Paper Example | Topics and Well Written Essays - 750 words

Market Competitiveness - Research Paper Example The study will assess the relation between market competitiveness and organization pay system. It will help the organizations that are incapable to pay competitive salaries to its employees due to inadequate financial resources. Employee compensation is a key aspect in order to determine the market and industry competitiveness of a business. On the other hand, employee compensation also determines the productivity and effectiveness of an employee. As the salaries and wages contribute significantly to the income of employees therefore, the comfort, emotion, health and physical wellbeing of people is very much dependent on it. This has the insinuation that, firms that are unable to pay competitive salaries to their employees it may result struggling, less healthy and stressed up life of workers. It will affect the competitiveness of the company. Therefore, it can be said that less market unable to pay employee compensation may result less market competitiveness of organizations and less productivity of employees. Several level of employee compensation may also manipulate the employees’ behavior and attitude towards their organization and specific jobs. Lowly paid employees lean to show negative attitude toward their job as they are less motivated. These will definitely affect the productivity of employees that will negatively impact on the performance of the organization. Talented and skilled employees are basically more productive. It will save several training and orientation cost of organization. It also entails that the organizations that find it difficult to present attractive compensation will barely attract these experienced, talented and skilled employees. The organizations with limited financial resource can employ a key strategy in order to improve compensation of employees is bonus compensation system or performance based compensation system. It will allow the employees to be compensated appropriately