Seminar paper from the year 2011 in the subject Business economics - Personnel and Organisation, grade: 2.0, University of applied sciences, Munich, course: MBA, language: English, abstract: The objective of this paper is to provide John Maynard, head of the human resource department of Tamiflex, with a sound recommendation whether he should accept Marit Iyang’s application for the position as the head of the new sales department in Bangalore, India. Iyang, born in India and currently working as a sales manager in the company’s German headquarter, is highly qualified for the job due to her MBA-degree and three years of working experience as an expatriate in a sales office in China. Marit Iyang’s possible compensation as an expatriate manager in Bangalore is calculated using the balance sheet approach and considering the COLA index. In contrast the salary of a local sales manager with comparable qualifications is evaluated with an empirical, self-made survey. While Iyang’s compensation consisting of a base salary, cost of living allowance, overseas service premium, hardship allowance and housing allowance would add up to EUR 129,312, the total annual costs for a local sales manager would not exceed EUR 15,000. Thus the labor costs for Iyang are significantly higher but the company would benefit from her local background as well as from her working experience in the headquarter of Tamiflex. Marit Iyang should definitely be assigned as the head of the sales department in Bangalore, India.