6/24/25, 2:20 PM World at Work: C17-Market Pricing (2025 updated) QUESTIONS AND ANSWERS (DETAILED & ELABORATED) fully solved Flash…
World at Work: C17-Market Pricing (2025
updated) QUESTIONS AND ANSWERS (DETAILED
& ELABORATED) fully solved
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Terms in this set (83)
tool that directly supports an organization's business
strategy by providing key competitive information on
Market Pricing
how the organization's compensation levels compare
to the market
Compensation Philosophy broad statement on how people should be rewarded
principles that guide the design, implementation and
administration of a compensation program; specifies
Compensation Strategy
what programs will be used and how they will be
administered
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, 6/24/25, 2:20 PM World at Work: C17-Market Pricing (2025 updated) QUESTIONS AND ANSWERS (DETAILED & ELABORATED) fully solved Flash…
1. External competitiveness
2. Pay competitiveness
Factors influencing 3. Relevant labor market
compensation 4. Organizations must be willing and able to pay
5. In-demand employees
6. Internal vs external equity
External Competitiveness prevailing rate for jobs in the marketplace
market where organization draws or loses employees
Relevant labor market
(organization size, geographic, industry)
prevailing market rates with whom the organization
Pay competitiveness competes; identify movement of salary; identify pay
practices
Internal Equity employees' perceptions of fairness and consistency
pay levels compared to competitors; prevailing
External Equity
external rates; achieving equity; retention
determining which jobs are of higher value to the
Job Value
organization
company consciously sets its pay at year-end
anticipated market level, not at the current market
level; company's pay level will then "lead" the market
Lead until the start of the next year; "pay leader" may be
better positioned to attract and retain more
experienced/higher performing employees by
offering above market pay
company consciously set its pay equal to current
market levels at beginning of the year; may
Lag experience greater difficulty in attracting and
retaining qualified employees (benefit offerings might
be used to offset below-market pay)
company will consciously set its pay at mid-year
anticipated market level; company's pay will lead the
Lead-Lag
market in the 1st half of the year and lag in the 2nd
half
https://quizlet.com/1056614253/world-at-work-c17-market-pricing-2025-updated-questions-and-answers-detailed-elaborated-fully-solved-flash-cards/… 2/10
World at Work: C17-Market Pricing (2025
updated) QUESTIONS AND ANSWERS (DETAILED
& ELABORATED) fully solved
Save
Get a feel for practice questions
Learn 1 /7 Study with Learn
Terms in this set (83)
tool that directly supports an organization's business
strategy by providing key competitive information on
Market Pricing
how the organization's compensation levels compare
to the market
Compensation Philosophy broad statement on how people should be rewarded
principles that guide the design, implementation and
administration of a compensation program; specifies
Compensation Strategy
what programs will be used and how they will be
administered
https://quizlet.com/1056614253/world-at-work-c17-market-pricing-2025-updated-questions-and-answers-detailed-elaborated-fully-solved-flash-cards/… 1/10
, 6/24/25, 2:20 PM World at Work: C17-Market Pricing (2025 updated) QUESTIONS AND ANSWERS (DETAILED & ELABORATED) fully solved Flash…
1. External competitiveness
2. Pay competitiveness
Factors influencing 3. Relevant labor market
compensation 4. Organizations must be willing and able to pay
5. In-demand employees
6. Internal vs external equity
External Competitiveness prevailing rate for jobs in the marketplace
market where organization draws or loses employees
Relevant labor market
(organization size, geographic, industry)
prevailing market rates with whom the organization
Pay competitiveness competes; identify movement of salary; identify pay
practices
Internal Equity employees' perceptions of fairness and consistency
pay levels compared to competitors; prevailing
External Equity
external rates; achieving equity; retention
determining which jobs are of higher value to the
Job Value
organization
company consciously sets its pay at year-end
anticipated market level, not at the current market
level; company's pay level will then "lead" the market
Lead until the start of the next year; "pay leader" may be
better positioned to attract and retain more
experienced/higher performing employees by
offering above market pay
company consciously set its pay equal to current
market levels at beginning of the year; may
Lag experience greater difficulty in attracting and
retaining qualified employees (benefit offerings might
be used to offset below-market pay)
company will consciously set its pay at mid-year
anticipated market level; company's pay will lead the
Lead-Lag
market in the 1st half of the year and lag in the 2nd
half
https://quizlet.com/1056614253/world-at-work-c17-market-pricing-2025-updated-questions-and-answers-detailed-elaborated-fully-solved-flash-cards/… 2/10
