If a manager tries to form territories with equal sales potential, the territories will usually be unequal in geographic size; this will cause the salespeople with larger territories to
A) develop larger income potentials.
B) have to work longer and harder to generate a certain sales volume.
C) work about the same amount, since potential is the same.
D) have much larger sales than those salespeople with smaller territories.
E) be limited to a smaller income potential.

Question

Quizplus · Accepted Answer

If territories are equal in sales potential but unequal in geographic size, the salespeople with larger territories will have to work longer and harder to generate the same sales volume as those with smaller territories. This is because they have more area to cover, which means more travel time and more customer calls to make. It's unlikely that they will have larger sales or income potentials, as this depends on factors other than territory size.

If a Manager Tries to Form Territories with Equal Sales