Michael Is the Vice President of Manufacturing for a Textile

Multiple Choice

Michael is the vice president of manufacturing for a textile firm that is opening up a plant in India. Michael must decide how to pay the hourly workers in the Indian plant. After much consultation with his peers at other companies, he decides to follow a common practice. Which of the following options is it most likely to be?

A) paying wages negotiated with the local community leaders in India
B) paying local Indian wages
C) paying higher than local Indian wages, but lower than the equivalent Canadian wages
D) paying the equivalent Canadian wages