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Delta Company Case Analysis

In: Business and Management

Submitted By shawngates99
Words 856
Pages 4
RaeShawn Davis Sales Force mang Dr. Jackson 09/14/12

“Delta Products Company”

It always seems as if the American economy has always been in a deficit, and has caused a lot of drawbacks and budget cuts in the work industry. Even today we suffer from the hole we have put ourselves in economically. In this case Tom Shilling the marketing manager of the Delta Products Company which sales microelectronic devices to other companies for there needs; is to decide rather or not he should take on new sales representative Brian Snowcroft an Arizona state graduate with a degree in electrical engineering or taking the offer of Jim Reynolds and Christina Alverez two sales people from TRW that have been laid of due to cutbacks, in order to replace Herb Hawkins the old sales rep of Delta Products Company. The problem at hand is that Tom shilling had to recently terminate his old sales rep, Herb Hawkins who had been with the delta company since they first opened due to lack of performance being put forth to help out the company, a cut back on money and not being able to afford Hawkins’s lavish lifestyle. The company’s selling cost while Hawkins was the sales reps are as followed: in 1998 $198,466 and Hawkins salary out of that cost was $85,000 with no bonuses because of his lack of sales work. So due to this Shilling proposed a new cost budget to Hawkins for the year 2000 based on his past performances and the company’s cutbacks. The new sales cost would be $116,000 and Hawkins new salary would be $50,000 including bonuses for meeting quotas and an expense not to exceed $60,000;Hawkins rejected his offer and accepted an early retirement since his pension and social security would pay him more than he was being offered.
After this occurred Shilling decide not to take on a new sales rep since it would save the company more much needed

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