You are the manager of Door-to-Door Vacuum Cleaners, Inc. Each salesperson is paid a base salary plus a percentage of the revenues she or he generates. In addition, each salesperson drives his or her car to and from each sales call and is reimbursed $0.40 per mile driven. On average, each salesperson drives about 150 miles per day and 240 days per year. As manager of Door-to-Door, how might you restructure the compensation of your sales force to enhance your profits? Are there any potential disadvantages of your plan? Explain.

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The Answer of You are the manager of Door-to-Door Vacuum Cleaners, Inc. Each salesperson is paid a base salary plus a percentage of the revenues she or he generates. In addition, each salesperson drives his or her car to and from each sales call and is reimbursed $0.40 per mile driven. On average, each salesperson drives about 150 miles per day and 240 days per year. As manager of Door-to-Door, how might you restructure the compensation of your sales force to enhance your profits? Are there any potential disadvantages of your plan? Explain.

You Are the Manager of Door-To-Door Vacuum Cleaners, Inc