Question 1

Expense account padding

Accepted Answer

A)  is an expected activity and is generally ignored unless it is very blatant. 
B)  occurs very rarely as most salespeople are quite honest. 
C)  is considered a serious offense, which, if detected, often leads to termination of employment. 
D)  is so difficult to uncover that most companies simply do not try. 
E)  is viewed as a fringe benefit by most salespeople. 
A)  is an expected activity and is generally ignored unless it is very blatant. 
B)  occurs very rarely as most salespeople are quite honest. 
C)  is considered a serious offense, which, if detected, often leads to termination of employment. 
D)  is so difficult to uncover that most companies simply do not try. 
E)  is viewed as a fringe benefit by most salespeople. C

Question 2

Which one of the following statements regarding global compensation is false?

Accepted Answer

A)  The compensation of native salespeople is difficult. 
B)  In many countries, political or cultural factors may have a strong influence on salesforce pay practices. 
C)  Overseas assignments can enhance career opportunities. 
D)  Companies are increasing incentives for foreign-based employment. 
E)  Sales managers often rely on human resource professionals to assist in global compensation planning. 
A)  The compensation of native salespeople is difficult. 
B)  In many countries, political or cultural factors may have a strong influence on salesforce pay practices. 
C)  Overseas assignments can enhance career opportunities. 
D)  Companies are increasing incentives for foreign-based employment. 
E)  Sales managers often rely on human resource professionals to assist in global compensation planning. D

Question 3

Job design factors such as skill variety and feedback are forms of nonfinancial compensation rewards.

Accepted Answer

A) True 
 B)False  False

Question 4

Perhaps the most serious shortcoming of straight-commission plans is that

Accepted Answer

A)  salespeople may earn more than their managers. 
B)  they contribute little to company loyalty, resulting in potential salesforce control problems. 
C)  the firm suffers financially if the market declines or stagnates. 
D)  they link compensation to actual sales. 
E)  they are difficult to administer. 
A)  salespeople may earn more than their managers. 
B)  they contribute little to company loyalty, resulting in potential salesforce control problems. 
C)  the firm suffers financially if the market declines or stagnates. 
D)  they link compensation to actual sales. 
E)  they are difficult to administer.

Question 5

A salesperson who is extrinsically motivated

Accepted Answer

A)  would work for the pure pleasure of working. 
B)  doesn't need or desire formal recognition for outstanding achievements. 
C)  is motivated by personal growth needs. 
D)  finds the job to be inherently rewarding. 
E)  is motivated by the rewards that the job provides. 
A)  would work for the pure pleasure of working. 
B)  doesn't need or desire formal recognition for outstanding achievements. 
C)  is motivated by personal growth needs. 
D)  finds the job to be inherently rewarding. 
E)  is motivated by the rewards that the job provides.

Question 6

A firm offering a college tuition reimbursement program has made a commitment to providing this nonfinancial reward:

Accepted Answer

A)  opportunity for personal growth. 
B)  recognition for achievement. 
C)  sense of accomplishment. 
D)  opportunity for promotion. 
E)  job redesign. 
A)  opportunity for personal growth. 
B)  recognition for achievement. 
C)  sense of accomplishment. 
D)  opportunity for promotion. 
E)  job redesign.

Question 7

This form of nonfinancial reward is generally considered to be more desirable to younger salespeople than to older salespeople:

Accepted Answer

A)  opportunity for personal growth. 
B)  opportunity for promotion. 
C)  job security. 
D)  sense of accomplishment. 
E)  recognition for achievement. 
A)  opportunity for personal growth. 
B)  opportunity for promotion. 
C)  job security. 
D)  sense of accomplishment. 
E)  recognition for achievement.

Question 8

The sales job itself can be a powerful motivator.

Accepted Answer

A) True 
 B)False

Question 9

All of the following are typical reimbursable expense items except

Accepted Answer

A)  automobile. 
B)  mileage allowance. 
C)  home. 
D)  telephone. 
E)  entertainment. 
A)  automobile. 
B)  mileage allowance. 
C)  home. 
D)  telephone. 
E)  entertainment.

Question 10

A disadvantage of a salary compensation plan is that it provides no financial incentive to improve performance.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following does not help deter expense account abuse?

Accepted Answer

A)  Tight financial controls. 
B)  Well-publicized and enforce requirements for documentation of expenditures. 
C)  An anonymous tip program. 
D)  Periodic visits by highly trained financial auditors. 
E)  All of the above help deter expense account abuse. 
A)  Tight financial controls. 
B)  Well-publicized and enforce requirements for documentation of expenditures. 
C)  An anonymous tip program. 
D)  Periodic visits by highly trained financial auditors. 
E)  All of the above help deter expense account abuse.

Question 12

The motivation task is incomplete unless salespeople's efforts are

Accepted Answer

A)  aimed at improving overall salesforce sales. 
B)  channeled in directions consistent with the overall strategic role of the salesforce within the firm. 
C)  channeled into profitable activities. 
D)  concentrated on sales quotas and ineffective activities are eliminated. 
E)  motivated towards activities that improve the company's bottom line as well as the corporate image. 
A)  aimed at improving overall salesforce sales. 
B)  channeled in directions consistent with the overall strategic role of the salesforce within the firm. 
C)  channeled into profitable activities. 
D)  concentrated on sales quotas and ineffective activities are eliminated. 
E)  motivated towards activities that improve the company's bottom line as well as the corporate image.

Question 13

Social media and business communications tools enable sales managers to monitor individual and team contributions.

Accepted Answer

A) True 
 B)False

Question 14

This form of commission rate may actually result in overselling and higher selling costs to the company:

Accepted Answer

A)  regressive. 
B)  incremental. 
C)  a combination of constant and regressive rates. 
D)  constant. 
E)  progressive. 
A)  regressive. 
B)  incremental. 
C)  a combination of constant and regressive rates. 
D)  constant. 
E)  progressive.

Question 15

Formal recognition programs can provide all of the following benefits to a salesforce except

Accepted Answer

A)  providing for public recognition for accomplishments in the presence of peers and superiors in the organization. 
B)  making the winners feel special. 
C)  enthusiasm inspired by the program carrying over into any related business or training sessions. 
D)  costing little and reinforcing desirable behavior immediately after it occurs. 
E)  providing the recipient with a symbolic award of lasting psychological value. 
A)  providing for public recognition for accomplishments in the presence of peers and superiors in the organization. 
B)  making the winners feel special. 
C)  enthusiasm inspired by the program carrying over into any related business or training sessions. 
D)  costing little and reinforcing desirable behavior immediately after it occurs. 
E)  providing the recipient with a symbolic award of lasting psychological value.

Question 16

To implement a new or modified reward system, sales managers should do all of the following except

Accepted Answer

A)  clearly communicate details of the plan to the salesforce prior to its implementation. 
B)  encourage salesforce feedback. 
C)  promptly answer questions. 
D)  detail any expected changes in job activities. 
E)  issue a press release detailing the company's changes. 
A)  clearly communicate details of the plan to the salesforce prior to its implementation. 
B)  encourage salesforce feedback. 
C)  promptly answer questions. 
D)  detail any expected changes in job activities. 
E)  issue a press release detailing the company's changes.

Question 17

The salesperson's choice to expend effort over a period of time, especially when faced with adverse conditions is referred to as

Accepted Answer

A)  intensity. 
B)  persistence. 
C)  tenacity. 
D)  determination. 
E)  degree. 
A)  intensity. 
B)  persistence. 
C)  tenacity. 
D)  determination. 
E)  degree.

Question 18

A guideline for managing salesforce motivation would be to attempt to incorporate individual needs of salespeople into motivational programs.

Accepted Answer

A) True 
 B)False

Question 19

Expense budgets may be used to maintain expenses as a specified percentage of overall sales volume or profit.

Accepted Answer

A) True 
 B)False

Question 20

Flexibility has been cited as both an advantage and a disadvantage of this compensation pay plan:

Accepted Answer

A)  straight salary. 
B)  combination pay plans. 
C)  straight commission. 
D)  straight commission with bonuses. 
E)  straight salary with bonuses. 
A)  straight salary. 
B)  combination pay plans. 
C)  straight commission. 
D)  straight commission with bonuses. 
E)  straight salary with bonuses.

Expense account padding

Which one of the following statements regarding global compensation is false?

Job design factors such as skill variety and feedback are forms of nonfinancial compensation rewards.

Perhaps the most serious shortcoming of straight-commission plans is that

A salesperson who is extrinsically motivated

A firm offering a college tuition reimbursement program has made a commitment to providing this nonfinancial reward:

This form of nonfinancial reward is generally considered to be more desirable to younger salespeople than to older salespeople:

The sales job itself can be a powerful motivator.

All of the following are typical reimbursable expense items except

A disadvantage of a salary compensation plan is that it provides no financial incentive to improve performance.

Which of the following does not help deter expense account abuse?

The motivation task is incomplete unless salespeople's efforts are

Social media and business communications tools enable sales managers to monitor individual and team contributions.

This form of commission rate may actually result in overselling and higher selling costs to the company:

Formal recognition programs can provide all of the following benefits to a salesforce except

To implement a new or modified reward system, sales managers should do all of the following except

The salesperson's choice to expend effort over a period of time, especially when faced with adverse conditions is referred to as

A guideline for managing salesforce motivation would be to attempt to incorporate individual needs of salespeople into motivational programs.

Expense budgets may be used to maintain expenses as a specified percentage of overall sales volume or profit.

Flexibility has been cited as both an advantage and a disadvantage of this compensation pay plan:

Overview of Personal Selling

Organizational Strategies and the Sales Function

Sales Organization Structure and Salesforce Deployment

Acquiring Sales Talent: Recruitment and Selection

Continual Development of the Salesforce:

Sales Leadership, Management, and Supervision

Evaluating the Effectiveness of the Organization

Evaluating the Performance of Salespeople

Developing Forecasts

Filters

Exam 7: Motivation and Reward System Management

Expense account padding

Which one of the following statements regarding global compensation is false?

Job design factors such as skill variety and feedback are forms of nonfinancial compensation rewards.

Perhaps the most serious shortcoming of straight-commission plans is that

A salesperson who is extrinsically motivated

A firm offering a college tuition reimbursement program has made a commitment to providing this nonfinancial reward:

This form of nonfinancial reward is generally considered to be more desirable to younger salespeople than to older salespeople:

The sales job itself can be a powerful motivator.

All of the following are typical reimbursable expense items except

A disadvantage of a salary compensation plan is that it provides no financial incentive to improve performance.

Which of the following does not help deter expense account abuse?

The motivation task is incomplete unless salespeople's efforts are

Social media and business communications tools enable sales managers to monitor individual and team contributions.

This form of commission rate may actually result in overselling and higher selling costs to the company:

Formal recognition programs can provide all of the following benefits to a salesforce except

To implement a new or modified reward system, sales managers should do all of the following except

The salesperson's choice to expend effort over a period of time, especially when faced with adverse conditions is referred to as

A guideline for managing salesforce motivation would be to attempt to incorporate individual needs of salespeople into motivational programs.

Expense budgets may be used to maintain expenses as a specified percentage of overall sales volume or profit.

Flexibility has been cited as both an advantage and a disadvantage of this compensation pay plan:

Overview of Personal Selling

Organizational Strategies and the Sales Function

Sales Organization Structure and Salesforce Deployment

Acquiring Sales Talent: Recruitment and Selection

Continual Development of the Salesforce:

Sales Leadership, Management, and Supervision

Evaluating the Effectiveness of the Organization

Evaluating the Performance of Salespeople

Developing Forecasts

Filters