Inderscience Publishers

The effectiveness of compensation strategies in international technology intensive firms

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The dilemma between cultural and sector predictors of compensation policies is more important than ever in a context of internationalisation. If relations between sectors of activity and compensation practices are well established in a single country, international comparisons are less common. In contrast with the strategic human resource perspective, whereby human resource managers have high autonomy in alignment of human resources with various business contingencies, such as strategy and structure, institutional pressures in a particular country somewhat limit firms' power to adopt well-established international compensation policies. Based on data from 602 large firms in three countries (Canada, France, Great Britain) this study demonstrates that country is a more appropriate level of analysis than the high technology sector in understanding compensation policies. However, the results show that several compensation strategies are more adapted to firms in high technology environments.

Keywords: compensation strategies, compensation policies, high technology, international compensation, Canada, France, UK, pay strategy

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