Dan Heath is the owner of Plain Truth Advertising.He is attempting to design salary systems for his employees,most of whom are sales agents.To get a good system,he needs to recognize the trade-offs between:
A)benefits and incentives.
B)risk-sharing and benefits.
C)benefits and salaries.
D)risk-sharing and incentives.

Question

Quizplus · Accepted Answer

The correct trade-off to consider when designing salary systems, especially for sales agents, is between risk-sharing and incentives. This is because a well-designed salary system should motivate employees to achieve higher sales (incentives) while also considering how much risk (such as income variability) the employees are willing to accept.

Dan Heath Is the Owner of Plain Truth Advertising