TY - JOUR
T1 - Compensation strategy
T2 - Does business strategy influence compensation in high-technology firms?
AU - Yanadori, Yoshio
AU - Marler, Janet H.
PY - 2006/6
Y1 - 2006/6
N2 - Drawing on the strategic employee group concept, this study empirically examines whether a firm's innovation strategy influences compensation systems for strategic employee groups in the high-technology industry. We focus on compensation packages for R&D employees who play a critical role in successful implementations of innovation strategy. Using compensation data for middle-level managers and professional employees from 237 firms in the high-technology industry, we found that a firm's strategic intention to pursue innovation has a significant influence on the relative pay level, compensation time horizon, and stock option vesting period lengths of this strategic employee group.
AB - Drawing on the strategic employee group concept, this study empirically examines whether a firm's innovation strategy influences compensation systems for strategic employee groups in the high-technology industry. We focus on compensation packages for R&D employees who play a critical role in successful implementations of innovation strategy. Using compensation data for middle-level managers and professional employees from 237 firms in the high-technology industry, we found that a firm's strategic intention to pursue innovation has a significant influence on the relative pay level, compensation time horizon, and stock option vesting period lengths of this strategic employee group.
KW - Compensation strategy
KW - High-technology firms
KW - Strategic employee group
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U2 - 10.1002/smj.521
DO - 10.1002/smj.521
M3 - Review article
AN - SCOPUS:33646546073
SN - 0143-2095
VL - 27
SP - 559
EP - 570
JO - Strategic Management Journal
JF - Strategic Management Journal
IS - 6
ER -