(Re) defining salesperson motivation: current status, main challenges, and research directions

The construct of motivation is one of the central themes in selling and sales management research. Yet, to-date no review article exists that surveys the construct (both from an extrinsic and intrinsic motivation context), critically evaluates its current status, examines various key challenges apparent from the extant research, and suggests new research opportunities based on a thorough review of past work. The authors explore how motivation is defined, major theories underpinning motivation, how motivation has historically been measured, and key methodologies used over time. In addition, attention is given to principal drivers and outcomes of salesperson motivation. A summarizing appendix of key articles in salesperson motivation is provided

Sharing and Lateral Transshipment of Inventory in a Supply Chain with Expensive Low-Demand Items

The emergence of carriers that deliver items to geographically dispersed destinations quickly and at a reasonable cost, combined with the low cost of sharing information through networked databases, has opened up new opportunities to better manage inventory. We investigate these benefits in the context of a supply chain in which a manufacturer supplies expensive, low-demand items to vertically integrated or autonomous retailers via one central depot. The manufacturer's lead time is assumed to be due to the geographical distance from the market or a combination of low volumes, high variety, and inflexible production processes. We formulate and solve an appropriate mathematical model based on one-for-one inventory policies in which a replenishment order is placed as soon as the customer withdraws an item. We find that sharing and transshipment of items often, but not always, reduces the overall costs of holding, shipping, and waiting for inventory. Unexpectedly, these cost reductions are sometimes achieved through increasing overall inventory levels in the supply chain. Finally, while sharing of inventory typically benefits all the participants in decentralized supply chains, this is not necessarily the case---sharing can hurt the distributor or individual retailers, regardless of their relative power in the supply chain.Multi-Echelon Systems, Transshipment, Approximation in Inventory Models

Competing Retailers and Inventory: An Empirical Investigation of General Motors' Dealerships in Isolated U.S. Markets

We study the following question: How does competition influence the inventory holdings of General Motors' dealerships operating in isolated U.S. markets? We wish to disentangle two mechanisms by which local competition influences a dealer's inventory: (1) the entry or exit of a competitor can change a retailer's demand (a sales effect); and (2) the entry or exit of a competitor can change the amount of buffer stock a retailer holds, which influences the probability that a consumer finds a desired product in stock (a service-level effect). Theory is clear on the sales effect--an increase in sales leads to an increase in inventory (albeit a less than proportional increase). However, theoretical models of inventory competition are ambiguous on the expected sign of the service-level effect. Via a Web crawler, we obtained data on inventory and sales for more than 200 dealerships over a six-month period. Using cross-sectional variation, we estimated the effect of the number and type of local competitors on inventory holdings. We used several instrumental variables to control for the endogeneity of market entry decisions. Our results suggest that the service-level effect is strong, nonlinear, and positive. Hence, we observe that dealers carry more inventory (controlling for sales) when they face additional competition.inventory competition, empirical, entry, supply chain management, automobile industry