As sales manager Jerry is trying to find a way to determine optimal sales force size. He knows that one way is determining how many sales calls per year are necessary for the organization to serve customers effectively and then dividing this total by the average number of sales calls a salesperson makes annually. The other method is based on ________________, in which additional salespeople are added to the sales force until the cost of an additional salesperson equals the additional sales generated by that person.

Question

Quizplus · Accepted Answer

The method mentioned in the question that involves adding salespeople until the cost of an additional salesperson equals the additional sales generated is known as marginal analysis. This is a common method used to determine the optimal sales force size. The other options mentioned in the question (commission plans, dealer loaders, economic forecasting, and sales divisibility) are not directly related to determining optimal sales force size.

As Sales Manager Jerry Is Trying to Find a Way