How can Lisa Braun encourage her salespeople to promote the more profitable model?
A)Put all sales persons on salary.
B)Provide higher sales commissions for higher priced items.
C)Provide higher sales commissions for items with the greatest contribution margin per constrained resource.
D)Both B and C are correct.

Question

Quizplus · Accepted Answer

By providing higher sales commissions for items with the greatest contribution margin per constrained resource, Lisa Braun can incentivize her sales team to promote the more profitable model. This will encourage salespeople to focus on products that generate more profit for the company, without sacrificing the quality of the product or the customer's satisfaction. Putting all salespersons on salary may not motivate them to sell more or increase profits, and providing higher sales commissions for higher priced items may not necessarily be the most profitable or efficient way to incentivize salespeople. Therefore, by choosing option C, Lisa Braun can ensure that her sales team is motivated to promote the product that generates the highest return on investment for the company.

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