Refer to the scenario below to answer the following questions.
Reliable Tool Company is a manufacturer of hubs and axles for the trailer and heavy
truck industry. Although Reliable Tool only has fifteen customers, the company is the
sole supplier of hub and axle components to those customers. Monthly sales at Reliable
Tool are approximately $1 million. “You might say we have all of our eggs in one
basket,” says owner Arthur Deetz. Therefore, it is critical that a competent sales force
nurture those few but large accounts. Ninety-five percent of Reliable Tool’s customers
are located in Michigan, Ohio, and Indiana, which means that travel time to all
customers is relatively short. However, given the nature of the industry, time spent with
each customer is essential.
Because Reliable Tool has only a few customers, the sales force manager wants to make
satisfying customers throughout the sales process as important as making large sales.
Which of the following is the best strategy for the Reliable Tool sales manager to adopt
in order to motivate the sales force to focus on customer satisfaction?
A. paying the sales force on a straight commission
B. making commissions a large portion of each salesperson’s compensation package
C. creating a recognition program for salespersons with the highest ratings on customer
surveys
D. organizing the sales force by product line
E. organizing the sales force by industry
Which of the following best describes a purchase funnel?
A. an assessment of advertising effectiveness