Asked by Nikoletta Stover on Sep 24, 2024
Verified
A company that rewards its salespeople based on the number of sales made can expect
A) Higher sales prices
B) Lower sales prices
C) No sales
D) All of the above
Sales Prices
The set amount at which goods or services are sold to customers, influencing the business's revenue.
Salespeople
Individuals who are employed to sell products or services to customers.
Number Of Sales
quantifies the total sales transactions completed within a specific period, often used to gauge business performance.
- Analyze the effects of compensation strategies on bargaining behaviors and outcomes.
Verified Answer
EM
Emily McGintyabout 23 hours ago
Final Answer :
B
Explanation :
When salespeople are rewarded solely based on the number of sales made, they may be motivated to lower prices in order to close deals faster and increase their commission. This can result in lower sales prices as compared to if they were incentivized based on the profitability or overall success of the sale.
Learning Objectives
- Analyze the effects of compensation strategies on bargaining behaviors and outcomes.
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