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In referring to the FormPrint Ortho500 case, Direct Sales Force incurs only a fixed pay of $400,000 to deploy but no other costs I a
- Inreferring to the FormPrint Ortho500 case, Direct Sales Force incurs only a fixed pay of $400,000 to deploy but no other costs I a year , whereas an Outsource salesforce gets only a commission of $0.37 per sales dollar. Show on a graph and estimate the indifference point between using a DSF and an ISR. Other things constant, state and explain the kind of sales channel the company should use when the expected sales amount is higher than the indifference point. As per case study, the selling price of Ortho500 is $68000/unit.
- brief summary of the case about the company's situation and your recommended decisions or actions.
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