The high profit sales force programs in a Low-Cost business strategy are likely to include:
A) extensive use of independent sales agents.
B) compensation that is largely salary.
C) evaluations based on behaviors, as well as outcomes.
D) both a and b above.
E) none of the above.

Question

Quizplus · Accepted Answer

To maintain a low-cost business strategy, the company would want to minimize fixed costs such as salaries and benefits for sales personnel. Therefore, extensive use of independent sales agents who work on commission would be a more cost-effective option. Additionally, evaluations based on outcomes (i.e. sales results) would be more important than evaluations based on behaviors.

The High Profit Sales Force Programs in a Low-Cost Business