Question: Listed here are two different firms. Which compensation plan would you recommend for each firm, and what reasons would you give for your recommendations?
(a) A newly formed company that sells lawn care equipment on a door-to-door basis directly to consumers; and
(b) the Nabisco Company, which sells heavily advertised products in supermarkets by having the salesforce call on these stores and arrange shelves, set up displays, and make presentations to store buying committees.