Model of Sales Management Environment
Internal environment: factors within the
organization that impact the selling process.
Corporate resources, sales budget, types of
products offered, organizational structure are among
the components of the such environment.
External environment: factors beyond the control
of the organization that impact the selling process.
Unexpected changes in the external environment
may present opportunities or threats to the sales
Responding to Environmental Changes
Adapting to Change: Try to adapt sales operations to
changes in the environment. If a leading competitor is
having success with a product-based sales organization,
you should recognize your sales force into a similar pattern.
Moving counter to the change: It involves more risk but at
the same time has a greater payoff. Suppose, the trend is
towards telemarketing to sell to smaller accounts in a
particular industry, to counter this trend, the firm might
expand its sales force to provide personal attention to these
accounts to strengthen customer loyalty, and increase
Trying to modify the change: Its not always easy or
feasible to move counter to a change, especially if its
directed by the government. In some cases advertising,
public relations can influence or modify the change in the
Example is of a firm hiring fresh college graduates as
salespersons, agents refuse to deal with them, claiming
they lack industry experience. The firm develops a series
of seminars in which the new salespeople current industry
and product information.
Thus management should include specific
guidelines in sales training programs for sales force.
Management should provide update information
about legal developments related to communication
Use incentive package that reward salespeople for
Review salesperson’s performance to identify