Read the case “Industrial Electronics, Inc.” and answer the following questions:

1. What an appropriate compensation system should do? What features it should have, what it should not have, and how firms can perform better by using such a system.

2. Evaluate an existing system, a proposed system, and comment on the strengths and weakness of each. Propose what you think is the best system for Industrial Electronics.

• Support your opinion by specific example

• Use the numbers in the case to support all of your claims.