case study 2 - Yadira Hammer BMGT 1327 Kimbel's Department...

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Yadira Hammer BMGT 1327 Kimbel's Department Store Summary: Kimbel's department store is about Frances Patterson wanting to try out implement the commission pay at the store. The idea sounds great because it seems to motivate the employees. The question is will it motivate the sales person so much that they will only work towards the sales and not the customer service like returns. A problem Frances has encountered is with the different departments within the store, some are high priced ticket item departments and some are not. 1. What theories about motivation underlie the switch from salary to commission pay? The equity theory because depending on the department that one works the commission can be significant. If an employee works at a department were only small ticket items are sold he or she will perceive that they are being treated unfairly when compared to employees who work in departments with big ticket items. Expectancy theory as well because motivation depends on employee's expectations ability to perform tasks and receive desired rewards.
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