NaxWell Corp.sells a smart wristband that, apart from monitoring heart rate and blood pressure, also reminds users to stand and walk every half hour.As part of its promotional efforts, a celebrity starts wearing the wristband, thereby increasing its popularity and ease of sale.Which of the following is most likely to happen?

Question

Quizplus · Accepted Answer

When a celebrity wears a product, it gains popularity and becomes easier to sell. NaxWell is likely to increase base salaries to retain and motivate its employees to meet the growing demand for the smart wristband. Decreasing incentives would not be an appropriate response to increased sales. Lowering executive compensation would not necessarily have a direct impact on the popularity or sales of the wristband. Hiring only contingent workers would not be a viable solution to meet increased demand as these workers may not be as invested in the success of the product as permanent employees.