After the number of sales territories has been determined, the sales manager can address territory design questions. He can then strive for the ideal of making all territories equal with respect to the amount of sales potential they contain and the amount of work it takes a salesperson to cover them effectively. When territories are equal in potential, it is easier to evaluate each representative’s performance and to compare salespeople. Equal workloads tend to improve sales force morale and diminish disputes between management and the sales force. While considering these questions, the sales manager should take into account the impact on market response of practical territory structures and call frequencies. Obviously, it is difficult, if not impossible, to achieve an optimal balance with respect to all these factors. The sales manager5 should constantly strive for the proper balance, however.
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