In setting up a combined payment plan for salespeople, the most critical question for an organization to answer is,"
A) "What percentage of total compensation should be salary and what percentage should be commission?"
B) "How much of the salesperson's time should be spent selling and how much in nonselling activities?"
C) "How can the sales program compensation plan be devised so as not to cause other employees to become unmotivated?"
D) "How long will the plan be operational before it needs to be evaluated?"
E) "What is the strategic basis for the plan and how will its implementation be monitored?"

Question

Quizplus · Accepted Answer

The most critical question for an organization when setting up a combined payment plan for salespeople is determining the balance between salary and commission. This balance directly impacts the motivation and behavior of salespeople, influencing their focus on short-term sales versus long-term customer relationships.

In Setting Up a Combined Payment Plan for Salespeople, the Most