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Evaluating a Shift to Team-Based Sales Commissions
A company that sells high-end kitchen appliances is considering changing its compensation structure for its sales staff. Currently, each salesperson earns a commission based on their individual sales. The proposed new system would eliminate individual commissions and instead offer a large monthly bonus to be shared equally among all salespeople in a store, based on the store's overall sales target being met. Evaluate the potential effectiveness of this proposed change. In your evaluation, justify your position by discussing both the potential benefits and the significant drawbacks of shifting to this new compensation model.
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