LO 1.4How can having a bonus system based purely on sales goals create an environment that encourages unethical behavior?

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Business

Randy Adkins

30 May, 07:49

LO 1.4How can having a bonus system based purely on sales goals create an environment that encourages unethical behavior?

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Answers (1)

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Bradyn Shaw · Answer 1

Sometimes sales representatives could be able to tell lies, steal customers from other coworkers, get customers in an inappropriate way.

Explanation:

There will always be the possibility of a behavior aimed at financial obsession by the sales representatives involved in the bonus process.

It is important to consider how excessive greed could have a fundamental role to play improperly against the rest of the team of the sales force; Therefore, it is an incentive that while on the one hand, it could be very beneficial for the company by offering the possibility of a significant increase in the company's sales.

On the other hand, it is necessary to consider the possible problems of deception and greed that could be presented among the fellow sales representatives. In my opinion, this should be an activity that needs to be monitored very closely in order to be highly beneficial for the group in general.