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Bates Manor Household furniture
Lately BatesManor Pieces of furniture merged with Lea Meadows and was faced with your decision with the economic sense of merging the sales attempts of the two companies. Lea Meadows utilizes sales agents to symbolize their upholstered products and BatesManor has its own sales force; Does the company give the new acquired line to existed sales force or perhaps continue to use the sales agents? Each company innovator desires to keep the product sales responsibility with their respective revenue efforts. Lea Meadows currently employs 12-15 sales agents to symbolize its for yourself owned and manufactured company. Their Net Sales had been $5 mil in a 15. 5 billion dollars dollar marketplace expected to expand next year. Phone sales agents employed by Lea Meadows on the other hand are not solely representing their very own brand, but tend to go over lines coming from several of their very own available items with their buyers. They are paid out 5% of net product sales and are suspected to spend 10-15% of their time about Lea Meadows products. BatesManor currently has Net Product sales of $75 million in the 12. 5 billion dollar wooden pieces of furniture market. The 10 revenue representatives call on 1000 full accounts and earn a salary of $70, 000 each year plus. five per cent commission. The benefit to the BatesManor sales representatives is their knowledge and respect on the market they function in. Revenue representatives had been making around 10 cell phone calls per week, averaging 3 hours per contact. In order to grow within the industry, Bates want to see the call up frequency become increased to 7 telephone calls per consideration per year to match industry rules. Alternatives
BatesManor's Vice President Steve Bott shows that the Lea Meadows products simply be given to the sales force at BatesManor. Their sales team has the proven relationships inside the industry that could be advantageous in support of 15% of sales call up time is necessary to handle the Lea Meadows line. Martin Moorman, Lea Meadow's nationwide sales manager suggests the line should live in the...