MERLOT - Multimedia Education Resource for Learning and Online Teaching
Home Communities Learning Materials Member Directory My Profile About Us

Peer Review

Become a Member | Log In

Personal Selling Budgeting Exercise

by Robert Owen
 

Ratings

Overall Rating:

4.3 stars
Content Quality: 4 stars
Effectiveness: 4 stars
Ease of Use: 5 stars
Reviewed: Jan 14, 2005 by Business Editorial Board
Overview: This module provides a short case followed by eight multiple choice questions
that students answer. The drop-down responses indicate whether the student has
chosen the correct answer. Explanations are included with some of the drop-down
responses.

The focus of the module is twofold. First, it introduces students to the
concept of multilevel marketing. Second, it requires students to analyze
key numbers, including salesforce turnover, time spent, expected earnings, and
planning to meet quota.

In addition, the module provides a ?reading problem? to help sales students
understand some of the financial implications for a direct salesforce. After
reading a brief scenario, students answer multiple choice questions requiring
simple calculations. Students get immediate feedback through the explanations of
right and wrong answers provided in drop down menus.
Learning Goals: The learning goals of this exercise include ensuring that students (1)
understand the concept of multilevel marketing; (2) develop the ability to
calculate key numbers like turnover, expected earnings, and commission, (3)
understand the ramifications of a direct sales job; and (4) realize that some
job offers, like that in the case, are too good to be true.
Target Student Population: This case would work well in an undergraduate personal selling or sales
management course. With appropriate preparation, the case could be used with a
selling module within a principles of marketing course.
Prerequisite Knowledge or Skills: Students would need a general understanding of multilevel marketing, direct
selling, turnover, quotas, commission structures, and basic mathematical skills.

Type of Material: Drill and practice.
Recommended Uses: This material could be used as an out-of-class assignment expanding upon
classroom discussion, or in-class if computers are accessible.
Technical Requirements: None.

Evaluation and Observation

Content Quality

Rating: 4 stars
Strengths: Strengths include the ease of use for students and the clarity of content. The
module is simple, direct, and illustrates some simple calculations important in
the sales arena. The answers are generally well explained and provide students
with immediate feedback.
Concerns: Although not a problem per se, students would require some initial knowledge of
multi-level marketing and sales concepts such as turnover, commissions, and
quotas. As such, its use is limited primarily to personal selling courses,
although with some preparation it could be used in a principles of marketing
course. Instructors need to be sure that the discussion and answers provided in
this module are aligned with their own objectives and explanations.

Potential Effectiveness as a Teaching Tool

Rating: 4 stars
Strengths: This module could be used as an out-of-class exercise that supports a discussion
of direct marketing opportunities as well as salesforce compensation. In a
short time, students can gain an understanding of the perils of multilevel
marketing. This is particularly instructive because students are sometimes the
targets of multilevel marketing programs.
Concerns: * Because the drop-down responses provide complete information on the answers
without the submission of a response, students could scroll through the
responses to find the answer without conducting the desired analyses (e.g.,
calculating salesforce turnover, etc.)

* Because this is a component of a course the author teaches, the author?s
specific objectives and the background for using this module are not stated.

Ease of Use for Both Students and Faculty

Rating: 5 stars
Strengths: The module is extremely easy to use, and invites student interaction. Students
could easily use this module to supplement their learning.
Concerns: * The drop-down answers and explanations are too easy! This assignment would
not be appropriate for a grade; the students can too easily get the answers
without trying the calculations themselves.

* The font is somewhat small (perhaps a bigger problem for a 40+ professor than
a twenty-something student).

Other Issues and Comments:
--%>