Which of the following is a motivational strategy that involves increasing compensation based on performance?

Prepare for the VCE Business Management Exam. Use flashcards and multiple choice questions, with hints and explanations for each question. Get ready for your success!

Performance-related pay is a motivational strategy that directly ties an employee's financial compensation to their performance levels. This approach incentivizes employees to work harder and achieve higher results, as their earnings can increase based on the quantity and quality of their work. By aligning employees’ financial rewards with the goals of the organization, businesses can enhance motivation and productivity.

In contrast, the other options focus on different aspects of employee engagement and management. For example, support may involve providing a workplace environment that fosters collaboration and assistance, but it doesn't directly relate to performance-based financial incentives. Investment in training aims to enhance the skills and competencies of employees, which can lead to better performance in the long run but does not inherently change their compensation structure. Lastly, career advancement offers employees growth opportunities within the organization, which can be motivating, but it does not specifically relate to performance-based compensation.

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