A golf company has developed a golf club that has a wider shaft and is 40 grams lighter than other clubs currently available in the market.It has hired an agency to develop an advertising campaign for this new club.The golf company has offered to pay the agency 3 percent of its profits if it sells more than 30,000 clubs during its first full year of production.This bonus is an example of a(n):

Question

Quizplus · Accepted Answer

Accountability is a major issue in the client/agency relationships. With a new type of agency compensation, the incentive system, the agency earns more if the campaign attains specific, agreed upon goals.

A Golf Company Has Developed a Golf Club That Has