Charles Lin Has Just Been Hired by Frederick Company to Replace

question 27

Multiple Choice

Charles Lin has just been hired by Frederick Company to replace a sales representative who is retiring after 40 years with the company.The older representative is training Charles on procedures and customers in his territory for three weeks before he retires,and Charles knows this is a huge opportunity to learn about the prospect base.When Charles asks which CRM system the company uses,the older representative says,"Everyone else here uses some computer program called Salesforce,but I won't touch it.I know my customers like the back of my hand! Never needed to write anything down."
Charles is concerned.He used Salesforce in college and knows how vital it is to have customer information,sales records,preferences,and conversations recorded.He talks to the sales manager,who tells him the representative's sales were decent,and all his invoices came in,so they left him alone and never forced him to use the CRM system.
-What are the real-life repercussions of the representative's lack of record-keeping for Charles as he begins his new job?

• A)Charles' sales will track way behind those of the retiring representative and he will be docked pay and denied promotion because of this.
• B)Charles is starting from almost scratch developing a prospect and customer base and may lose some current customers because he does not know about them.
• C)Charles cannot succeed in this new job without customer information and will end up frustrated and doubting his skills.
• D)Charles does not need any information from the retiring representative anyway as he is supposed to be developing his own prospects and not renewing business with the old representatives' customers anyway.
• E)Charles was hired deliberately by management because he is young and his career won't be affected by this setback,so they will not give him the support he needs.

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Definitions:

Liquidity

The ability of an asset to be quickly converted into cash without significant loss in value, or a company's ability to meet its short-term obligations.

IFRS

International Financial Reporting Standards, a set of accounting guidelines providing a global framework for financial statements.

Commercial and Tax Law Approach

Pertains to the legal frameworks and interpretations that govern the conduct of businesses and the calculation of taxes.

Global Sources of Capital

Various international avenues and mechanisms through which businesses can secure funding for operations or expansion.