Chapter 4
Differentiation Strategies I: Effective Human Resource Strategies
Questions for Discussion:
1. Discuss the implications of the value profit chain for a retailer‘s human resource decision
making.
2. List and discuss costs that are typically associated with high levels of employee turnover.
Direct costs associated with employee turnover include employee
• Recruiting.
3. How can a retailer develop and maintain an employee-centered corporate culture?
A retailer can develop and maintain an employee-centered corporate culture through
• Continually researching the needs of its employees through employee morale and
• Offering flexible work schedules.
4. How can a retailer determine if its corporate culture is employee centered?
A retailer can determine if its corporate culture is employee centered through
5. Identify the pros and cons of limiting top-level executive compensation to a retailer.
Pros of limiting top-level executive compensation to a retailer include
• The increase in morale among workers.
• The greater perception of equity in wages among employees.
6. Discuss the merits of the use of team-based performance measures as implemented at Whole
Foods.
Positive elements of Whole Foods’ use of team-based performance measures include
• Workers can motivate team members who are not efficient and/or effective.