Deck 12: Motivating and Rewarding Salespeople

Question 1

In order to build a motivated sales force,managers should:

A)make salespeople compete for large cash bonuses once or twice a year
B)give small,frequent rewards
C)allow salespeople to choose their own rewards from a list created by management
D)hire self-motivated people and then empower them to take ownership of their own success
E)hire experienced salespeople with proven track records

Answer 1

D

Question 2

Adam's Equity Theory and Expectancy Theory are both types of:

A)reward systems
B)compensation plans
C)challenge motivators
D)content-based motivational theories
E)process-based motivational theories

Answer 2

E

Question 3

All of the following are generational differences managers may have to consider EXCEPT:

A)communication styles
B)technological skills
C)intelligence level
D)valued forms of recognition
E)frame of reference

Answer 3

C

Question 4

Extrinsic motivation factors are activities that are done in order to:

A)feel the satisfaction of a job well-done
B)facilitate day-to-day tasks
C)improve a salesperson's attitude
D)increase customer confidence in the salesperson
E)earn an external reward such as money or social recognition

Question 5

Workers from the Mature generation are motivated by:

A)flexible time
B)collaborative work experiences
C)informal communication
D)respect,experience,and formality
E)family focus

Question 6

All of the following generations are currently present in the workforce EXCEPT:

A)Matures
B)Baby Boomers
C)Generation X'ers
D)Millennials
E)Centurians

Question 7

Managers need to understand what motivates the salespeople they manage,because motivational activities:

A)can motivate salespeople when done correctly,but demotivate them when done incorrectly
B)are expensive and should not be performed unless absolutely necessary
C)are the only way a company has to ensure that salespeople continue to perform their jobs correctly
D)take up a large part of a sales manager's day
E)may not be right for every company

Question 8

All of the following are valued by workers from the Baby Boom generation EXCEPT:

A)formality
B)teamwork
C)communication
D)promotions
E)public recognition

Question 9

Changing demographics in the United States population mean that sales managers will need to be able to understand how to motivate salespeople with differences that are largely:

A)generational
B)regional
C)gender-based
D)ethnic
E)economic

Question 10

Managers who understand McClelland's Needs Approach will give their salespeople rewards that combine which of the following aspects?

A)achievement,recognition,and money
B)achievement,affiliation,and power
C)money,recognition,and power
D)knowledge,skills,and attitudes
E)knowledge,sales,and abilities

Question 11

The heart of Adam's Equity Theory is that salespeople will be motivated based on how they feel they do:

A)when confronted by difficult conditions
B)throughout the day on a scale of 1-10
C)as part of a team
D)over the course of a challenge,from start to finish
E)compared to how others in similar jobs do

Question 12

The largest group coming up into the workforce is the Millennial generation.This generation of workers is motivated by:

A)formality and respect
B)family time
C)flexibility and meaningful work experiences
D)promotions
E)plaques and awards

Question 13

Intrinsic motivation factors are items that:

A)are given to the salesperson to show that they are doing a good job
B)have a high financial value
C)give the person a feeling of satisfaction or reward just by doing the activities
D)allow the salesperson to demonstrate status in the department
E)do not cost the company anything,like better job titles and other intangibles

Question 14

The approaches of Maslow,McClelland,and Herzberg are all examples of:

A)development programs
B)reward systems
C)compensation plans
D)content-based motivational theories
E)process-based motivational theories

Question 15

In Maslow's Hierarchy of Needs,which need is the highest level?

A)self-actualization
B)ego
C)social or belongingness
D)security
E)physiological

Question 16

Workers from Generation X are motivated primarily by:

A)respect
B)collaborative work experiences
C)public recognition
D)promotions
E)flexible time for their families

Question 17

One way to re-motivate salespeople who have hit a plateau and may be burned out is to:

A)promote them to field managers
B)ask them to train and coach younger representatives
C)put them on straight salary
D)put them on commission-only pay
E)change their commission schedules

Question 18

Herzberg's Two-Factor Approach theorizes that two types of rewards need to be present for a salesperson to be motivated.These two types are:

A)concept and process
B)formal and informal
C)motivation and hygiene
D)emotional and logistical
E)present and future

Question 19

Expectancy Theory states that sales reps will work hard for the things they value.Managers,therefore,need to:

A)reward salespeople with items of high value
B)figure out what things each particular salesperson values
C)ask salespeople how they feel they compare to others in the organization
D)provide the most challenging work environment possible for each employee
E)make sure a salesperson's physiological and security needs are taken care of

Question 20

In the past,motivation was understood as a set of concepts or needs that people have.Now,motivation is increasingly being understood as:

A)something people either have or don't have
B)a process of activities people perform
C)a hierarchy of desires
D)more universal and simple than past theories would indicate
E)impossible to study accurately

Question 21

In addition to compensation,all of the following are part of the total rewards inventory offered by a company EXCEPT:

A)benefits
B)savings
C)work-life balance rewards
D)performance recognition
E)development and career opportunities

Question 22

While there are many different types of pay structures in place in the sales industry,which of the following is the most common?

A)base salary
B)straight salary
C)regressive commission plans
D)commission-only pay
E)combination pay

Question 23

Studies done on salespeople in different countries show that salespeople in some countries:

A)prefer to work on straight commission
B)resort to unethical means when asked to compete with each other
C)are less motivated by money than by using their skills
D)do not need benefits as these are provided by their governments
E)have more success when they are not rewarded

Question 24

"Organizational culture" refers to the:

A)way the company arranges the management hierarchy internally
B)values and ideas the company has about itself,and how they express those values to employees
C)line reporting system in the sales department
D)employee wellness benefits program offered on-site to encourage employees to focus on their physical health
E)social arrangement of employees and how they relate to each other as dyads and groups

Question 25

Why are sales contests so popular with sales managers who want to motivate their salespeople?

A)They are easy ways to make sure everyone in the organization gets excited about a goal.
B)They are specific and time-delineated ways to focus salespeople on competing with each other to reach goals.
C)They produce large amounts of effort on the parts of the salespeople for very little investment in the actual prize from the management.
D)When held frequently,salespeople may hold off on selling until the beginning of the next contest.
E)They can make the salespeople who do not win the top prize feel as if they have failed.

Question 26

In what ways does a company compensation plan that includes only money as a reward for selling increase the likelihood that salespeople will act in unethical ways?

A)If money is seen by the company and salesperson as the only reward,then the pressure to make sales at all costs increases.
B)Money always corrupts an organization and its members,so unethical behavior is inevitable over time.
C)The kinds of people who value other forms of rewards tend to be more principled than those who value money.
D)A manager should use other nonfinancial forms of reward,depending on what the individual employee values.
E)People always have the choice whether to act ethically or unethically,and the form of reward they receive should not affect their personal choices.

Question 27

A company's general business strategy determines the:

A)financial forecasts of the company
B)product development resources allocated to the sales department
C)activities salespeople will be asked to focus on
D)benefit plan the company will join
E)method of compensation salespeople for sales

Question 28

The rewards that a company offers its salespeople should be a combination of:

A)pleasure trips and sales trips
B)intrinsic and extrinsic rewards
C)cash and merchandise
D)financial and nonfinancial rewards
E)verbal and written

Question 29

Most work-life balance programs focus on helping employees:

A)work more efficiently
B)earn more money
C)care for family members and their own health
D)save for retirement
E)manage their time more effectively

Question 30

A complete program offered by a company to reward salesperson success is called:

A)a financial package
B)an intrinsic motivator
C)a business strategy
D)a marketplace environment
E)a total rewards program

Question 31

Team sales,in which the efforts of the individual members are difficult to determine,may likely be compensated with what type of pay structure?

A)nonfinancial compensation
B)combination plan
C)straight pay
D)variable pay
E)commission-only pay

Question 32

Motivational programs such as sales contests need to be designed with the understanding that:

A)everyone wants to be the best compared to others in their organization
B)concepts of reward and accomplishment varies across cultures and countries
C)employees should not be singled out for praise away from their groups
D)sales teams will not be able to participate in the contests
E)prizes will not be able to be awarded until the close of the next sales quarter

Question 33

Marketplace environment,organizational culture,and business strategy all contribute to an organization's:

A)organizational hierarchy
B)performance recognition programs
C)benefit offerings
D)total rewards strategy
E)compensation package

Question 34

The marketplace environment of the company determines the:

A)range of rewards a company can afford to offer its salespeople
B)long-term financial stability of the company
C)way the company expresses its values to the employees
D)plan for how they will grow and focus their business
E)ways the company will motivate its employees in different countries

Question 35

Expense accounts are a way for a company to:

A)keep the costs of business travel a neutral factor for salespeople
B)make money by having salespeople subsidize their own business travel
C)give salespeople extra income without having to declare it on their taxes
D)entertain big clients so they will be more likely to place repeat orders
E)reduce benefits to employees without hurting the employees financially

Question 36

Base salary payment systems are likely to be most beneficial to which type of salesperson?

A)new salespeople
B)experienced salespeople
C)sales managers
D)inside salespeople
E)field representatives

Question 37

Why are personal development and career development opportunities motivational to some employees?

A)The opportunities usually take place in top vacation destinations.
B)These meetings,trips,and opportunities have high retail value and therefore become part of the employee's taxable income.
C)These personal development trips give employees the chance to be out of the office and away from their managers for a day or longer.
D)Winning these opportunities is prestigious and increases the salesperson's standing in the sales department.
E)These opportunities help them develop their skills while also demonstrating that management thinks they have potential to grow.

Question 38

Combination plans solve which of the following problems for new salespeople?

A)They increase the amount a new salesperson earns from referring family and friends to the company as candidates for employment.
B)They weight the pay toward a base salary,which encourages new salespeople to spend time focusing on basic business and technological skills and not to focus solely one sales activities for the first few months.
C)They provide a greater percentage of the pay as an incentive for enthusiasm and activity,and less for output.
D)They help the salesperson pay back student loans with a generous educational allowance.
E)They provide a steady income during the time when a salesperson is building up a pipeline.

Question 39

All of the following are types of incentives offered by various pay plans EXCEPT:

A)bonuses
B)stock options
C)team-based pay
D)cost-of-living allowances
E)commissions

Question 40

All of the following are items that may be part of a benefits package from a company EXCEPT:

A)health insurance
B)paid time off
C)retirement or pension benefit programs
D)FICA contributions
E)defined contribution programs

Question 41

How has thought about the nature of motivation changed? What are two theories of the more current way of thinking about motivation,and what do they entail.

Question 42

Salespeople may value opportunities for personal or career development as a reward because these opportunities are usually luxury trips that have high dollar values.

Question 43

It is nearly impossible to bridge a generation gap between employees at the office.

Question 44

What can a sales manager do about a salesperson who no longer seems motivated and may be burned out.

Question 45

What are the three different ways of compensation salespeople? Which is the most common?

Question 46

What three conditions influence a total rewards strategy? Explain what each one does briefly.

Question 47

Employees never enjoy nonfinancial rewards as much as they enjoy financial rewards.

Question 48

A progressive commission plan will encourage employees to sell more than a regressive plan will.

Question 49

What is the difference between intrinsic motivation and extrinsic motivation.What are some examples of extrinsic motivation?

Question 50

Discuss paying a straight salary to salespeople.When is it appropriate? What are the advantages and disadvantages for salespeople and the company?

Question 51

Salespeople can be compensated using base pay,variable pay,or a combination of the two.

Question 52

Intrinsic motivation means feeling satisfaction from the act of doing a job.

Question 53

Discuss the reasons that salespeople go into sales around the world.Are all of them motivated by the things salespeople in the US are?

Question 54

What are the categories that make up a total rewards package?

Question 55

What are the advantages and disadvantages of using a straight commission compensation system for salespeople?

Question 56

What are the four different generations that are currently in the workplace in the US? What does each one value?

Question 57

Empowering your employees to take ownership of their jobs is a way to keep them motivated.

Question 58

Straight pay is better for experienced salespeople than it is for new salespeople.

Question 59

Paid time off from work is considered part of the benefit package.

Question 60

Salespeople all over the world go into careers in sales because they want to earn large amounts of money.

Question 61

What are the four items that usually go into a benefits plan?

Question 62

What is the main focus of most work-life benefits programs?

Question 63

What are some different kinds of employee recognition programs,and why do they work?

Question 64

Are there some reward systems that seem to encourage unethical behavior more than others?

Question 65

How are expense accounts correctly used? What would be an incorrect use of an expense account?