Discuss the differences between the four common ways to organize a sales force. What are the potential benefits of each structure?

What will be an ideal response?

If a sales force is organized by geography, each salesperson is assigned to a geographic area. This is a very cost-efficient organization because it minimizes the amount of time salespeople spend traveling between calls. A product line organization allows members of the sales force to specialize in a product or product line; the seller becomes very knowledgeable about products. This method can cause duplication of efforts with several salespeople calling on the same accounts. The industry structure organizes along industry lines, with each salesperson calling on companies in one industry. This organization is effective when products or services are complex and have different applications in different industries. The final option is organizing the sales force by key accounts. With this strategy, the company's most important customers receive dedicated personal-selling resources.

Business

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