The Criteria for Sales Evaluations Have Changed to Include Customer

question 132

Multiple Choice

The criteria for sales evaluations have changed to include customer satisfaction,profit contribution,and customer retention as measures of success.This change was motivated by:

• A)complaints from upper-level management about the cost of commission-based compensation programs.
• B)difficulty in recruiting competent employees because of the variability of sales personnel's compensation.
• C)reluctance to encourage sales personnel to develop new accounts.
• D)an increasingly long-term orientation that results from greater quality management and customer relationship building efforts.

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Definitions:

Early Payment Discount

A discount offered by a seller to a buyer for paying an invoice ahead of the scheduled due date.

Purchase Discount

A deduction from the amount owed by a buyer to a seller, granted for paying an invoice early.

Early Payment Discount

This is a reduction in the invoice amount offered by a seller to a buyer in return for paying the bill before the scheduled due date.

Sales Discount

A reduction in the price of a product or service that is offered to customers, typically to encourage early payment of invoices or to incentivize bulk purchases.