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Author:Codes, D.
Title:In the Eye of the Beholder: An Analysis of the Relative Value of a Top Sales Rep across Firms and Products
Journal:Marketing Science
2003 : SPRING, VOL. 22:2, p. 161-187
Index terms:SALES MANAGEMENT
SELLING
GAME THEORY
AGENCY THEORY
Language:eng
Abstract:The author answers the question when the most highly skilled salespeople should sell the best products. The main result is that the highly skilled reps should sell better products when the task is very complex and worse products when the task is very simple. This is shown using a general analytical model of selling in which sales are a joint function of the salesperson's skill and the complexity of the selling task. Complexity varies across products and industries. Intuitively, when the selling task is complex, few salespeople of any level of ability will be successful with a low-quality product. Therefore, the high-skill rep's value is higher on the better product. The author finds that the firm that has the biggest sales force does not always have the best.
SCIMA record nr: 250351
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