What is a disadvantage of straight commission plans?
A) Payments are complicated to calculate.
B) Salespeople spend too much time on servicing.
C) Salespeople neglect selling hard-to-sell products.
D) The company's fixed sales costs are proportionately high.

Question

Quizplus · Accepted Answer

With straight commission plans, some salespeople neglect selling hard-to-sell items. However, sales costs are proportionate to sales rather than fixed, so the company's fixed sales costs are thus lower. It's a plan that's easy to understand and compute.

What Is a Disadvantage of Straight Commission Plans