The [[Agency theory]]@finance as it applies to sales incentives tells the following:

|Assumption|1) The company and the sales people have different goals and in orde to function their goals need to be aligned. 2) Sales people are more risk averse then the company needs them to|
|Favours|Outsource sales force: 100% commisioned sales force|
|Problem|Lack of authority over the sales force. Sales force may choose to offset their risk by focussing on other products and actvities|
|Solution|Cnottract must encourage/reward the sales force to engage in reselling their products|
bag
sales_public
created
Sat, 10 Dec 2011 12:42:59 GMT
creator
dirkjan
modified
Sat, 10 Dec 2011 12:42:59 GMT
modifier
dirkjan
tags
M20
Term
creator
dirkjan