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The Most Serious Disadvantage of a Straight-Salary Compensation Plan Is

Question 24

Multiple Choice

The most serious disadvantage of a straight-salary compensation plan is


A) that it builds little in the way of salesforce loyalty or commitment to the company.
B) that differences in salary levels among salespeople are often a function of seniority on the job instead of true merit.
C) that they offer little financial incentive to perform past a merely acceptable level.
D) the financial burden the firm suffers if the market declines or stagnates.
E) that high-pressure, non-customer-oriented sales techniques are often used to boost total sales.

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