A Competitive Limitation to the Straight Salary Plan for Compensating

question 63

Multiple Choice

A competitive limitation to the straight salary plan for compensating a sales force is that:

• A)It offers little direct incentive for the salespeople.
• B)Management has more difficulty controlling the activities of the sales force.
• C)It is the highest cost plan of all the major types.
• D)Usually it is not simple to understand or economical to administer.
• E)It usually is not workable when the job entails only missionary activities.

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Definitions:

Automatization

The process by which a skill becomes automatic with practice, requiring less conscious thought and effort to perform.

Spreading Activation

A mechanism within associative networks that explains how information is retrieved in the brain, where thinking about one concept activates related concepts.

Lexical Decision Task

A psychological experiment in which participants decide as quickly as possible whether a given string of letters is a real word or a non-word.

Spreading Activation

A method in cognitive science that explains how information is retrieved in the human brain, suggesting ideas in memory are connected and that activating one idea naturally leads to the activation of related ideas.