In a country that is high on power distance, people generally expect and accept differences in power as appropriate. Discuss equity theory in the context of a high-power difference society.

Equity theory, developed by J. Stacy Adams, focuses on the balance or imbalance that individuals perceive between their inputs (effort, skills, time) and outcomes (rewards, recognition) compared to others. In the context of International Human Resource Management (IHRM), applying equity theory requires understanding how cultural dimensions, like power distance, influence employee perceptions of fairness and justice in the workplace.

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