Worked at a place where sales did do that. Salesmen were paid a percentage of the total negotiated value of each contract they brought in, and they would underbid and give free services or equipment in order to win. We often lost money or barely broke even on contracts.
Upper management finally caught on, and discussed changing a salesman’s commission to a percentage of the contract profit. All of our salesmen threatened to quit, so management gave in and continued business as usual. Yeah, we were belly-up a few years later.
Worked at a place where sales did do that. Salesmen were paid a percentage of the total negotiated value of each contract they brought in, and they would underbid and give free services or equipment in order to win. We often lost money or barely broke even on contracts.
Upper management finally caught on, and discussed changing a salesman’s commission to a percentage of the contract profit. All of our salesmen threatened to quit, so management gave in and continued business as usual. Yeah, we were belly-up a few years later.