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Santiago owns a large local car dealership. He employs mechanics and service workers and a large staff of salespeople. Lately, Santiago has received negative feedback
Santiago owns a large local car dealership. He employs mechanics and service workers and a large staff of salespeople. Lately, Santiago has received negative feedback and even several complaints from customers saying that his salespeople are too pushy and aggressive. Customers report that they do not feel comfortable coming to Santiago's dealership because they dislike the intense pressure put on them to purchase a car, or to make upgrades on a car purchase which they cannot afford. Which of the following incentive plan changes should Santiago make if he wants to reduce the ultra-aggressive sales approach being used by his employees? a. Continue with the current compensation system but tell employees about the complaints so they are aware of the problem. b. Move to an entirely commission-based pay system. c. Create an incentive system rewarding sales staff based on customer satisfaction scores and reduce the proportion of compensation based on commissions. d. Create a differential piece-rate incentive program
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