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Hamilton Industries Makes Reproductions of Architectural Features for the Renovation

Question 110

Multiple Choice

Hamilton Industries makes reproductions of architectural features for the renovation of 19th century buildings. It is considering abandoning the straight-commission plan for compensating sales people because that plan:


A) rewards missionary sales people inequitably.
B) makes it difficult to get sales people to engage in customer service.
C) provides no incentive to maximize sales volume.
D) gives management too much control over the activities of the sales force.
E) becomes a fixed cost.

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