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Highlights for Children

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Highlights for Children

  • By
  • Feb. 2010
  • 406 Words
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Highlights for Children are currently facing a few different problems with their selling channels and company structure. The first, although not most important, problem within the company is its lack of consensus. From the information provided in the case, the different people present at the meeting have very different ideas at what is affecting sales and also what the appropriate way of fixing the problem is. For example, although some mentioned it would be better to get rid of the direct sales force, Richard Bell, chairman of the board, felt eliminating the sales force was not a wise decision. These conflicting opinions have also been present with other issues such as telemarketing, direct mail and even the company-generated leads. Another problem that Meider and Highlights for Children are facing comes directly from the sales force. The direct sales force team is relying only on the company-generated leads when making their sales, although it makes sense for them to use this first (as these are the people who have actually displayed interest in the products), the reps are making the mistake of not coming up with any leads of their own. Along the same lines is the problem of taking more than they can “chew”. Reps are taking way more leads than they can get to in an appropriate time and by the time they get to them, or let the telemarketing or direct mail departments get to them, the leads are of little use because the prospective customer has lost interest in the product. When the calls are made, however, many reps are experiencing a hard time being able to actually reach their “lead”. This can be in part to busy family schedules and more amounts of time being spent outside the house. The last issue affecting the sales force is the lack of motivation to sell the products based on the low amount of commission. The case explained that since these are low-ticket items, the commission is low and would require lots of work to even make a significant...

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