390-21--ppt

390-21--ppt - Executive compensation

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
Executive compensation In 2002, the chief executives of the largest corporations in the  United States earned, on average, $7.4 million, including  salaries, bonuses, and stock options. Top managers in other countries earned much less. In the U.S., CEOs in 2002 made about 200 times what the  average worker did. Executive pay is set by compensation committees of boards of  directors.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
How would you assess compensation of top officers of  large US companies? 2005 2000 Too much 73% 73% Too little   3%   5% Just about right 21% 19% Not sure   2%   2% Source : Business Week (11 Sept 2003) Top Executive Compensation
Background image of page 2
compensation: Is it justified? Proponents of high executive pay : Well-paid managers are simply being rewarded for  outstanding performance.   High salaries provide an incentive for innovation and risk- taking. Not many individuals are capable of running today’s large, 
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 11/27/2011 for the course BUS M 390 taught by Professor Loriwadsworth during the Fall '10 term at BYU.

Page1 / 12

390-21--ppt - Executive compensation

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online