To Keep Commissions Paid to Salespeople from Becoming So High

question 4

Multiple Choice

To keep commissions paid to salespeople from becoming so high that they become demoralizing to company executives,some companies place upper limits on how much a sales representative can earn.This limit is called a:

• A) draw.
• B) bonus.
• C) base.
• D) cap.
• E) ground rule.

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Definitions:

Negative Reinforcement

A psychological principle where the removal of a negative condition strengthens or increases the likelihood of a behavior.

Positive Reinforcement

A process where introducing a stimuli following a behavior leads to an increase in the frequency of that behavior, reinforcing the desired action.

Positive Punishment

A method in behavioral psychology that involves adding an unfavorable outcome in response to an undesirable behavior to decrease its occurrence.

Negative Punishment

A behavioral psychology concept where reducing or removing a desirable stimulus follows an unwanted behavior, aiming to decrease that behavior's frequency.