You Are the Sales Manager of a Large, Multi-Product Company

Multiple Choice

You are the sales manager of a large, multi-product company. Your national sales force is divided into eight regions, though the Mid-Atlantic region is currently understaffed (sales volume there has always been low) . Your salespeople are paid on commission. The economy has entered a period of recession, and even the Administration's economists predict that it will remain so for at least three more quarters. In order to "weather the storm," the best course of action among those presented below is to:

A) withdraw from the Mid-Atlantic region in order to reduce fixed costs.
B) shift from commission to salary in all regions in order to cut expenses.
C) raise commission rates on higher margin products in all regions in order to boost sales.
D) all of the above.
E) none of the above.