Question: One decision onsalesforcecompensation relates to the proportion offixedvs.variable(per performance) pay. The fixed part of the compensation comes in the form of asalary(does not depend on

One decision onsalesforcecompensation relates to the proportion offixedvs.variable(per performance) pay.

The fixed part of the compensation comes in the form of asalary(does not depend on the sales performance). The variable part can have multiple forms, with the most common one being thecommission(where the sales person receives some % of the sales revenue generated).

What are some factors to consider when deciding how much of the sales agent's compensation should come in the form of a salary and how much should be in the form of commissions?

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