1. Do you think the compensation system at Collegiate Promotions is effective?
2. Why would a sales representative try to sell at the top of the price range? Why at the bottom of the price range? Do
you predict that most sales are made at the top or bottom of the range of possible prices?
3. How does the lack of geographically protected sales areas affect salespersons' behavior?
4. How committed do you think the independent contractors are to Collegiate Promotions? What are some positive
features of the independent contractor status for the organization? What might be some positive features for the
independent representatives? Would you expect sales representatives to have long-term associations with
the
company?
1. It is difficult to determine the effectiveness of the compensation system at Collegiate Promotions without more information on how it is structured and how it aligns with the company's goals and objectives. A thorough analysis of the system would be needed to make an accurate assessment.
2. A sales representative may try to sell at the top of the price range in order to maximize their commission and potentially earn more money. On the other hand, they may also sell at the bottom of the price range in order to close a deal quickly or meet sales quotas. It is hard to predict whether most sales are made at the top or bottom of the price range without more specific data on sales trends within the company.
3. The lack of geographically protected sales areas can affect salespersons' behavior by creating competition among them for sales leads and potential customers in the same area. This can lead to aggressive sales tactics and possibly undercutting each other in order to secure a sale.
4. The level of commitment among independent contractors to Collegiate Promotions may vary depending on individual circumstances. Some positive features of the independent contractor status for the organization may include lower administrative costs and flexibility in managing a dispersed sales force. For the independent representatives, positive features may include autonomy and potentially higher earning potential.
Whether sales representatives have long-term associations with the company would depend on various factors such as the compensation structure, job satisfaction, and opportunities for advancement within the organization. It is possible that some representatives may stay with the company for a long time if they are successful and have a positive experience, while others may move on to other opportunities.