Kimbel’s Department Store case

Kimbel’s Department Store

QUESTIONS:
1. What theories about motivation underlie the switch from salary to commission pay?

2. What needs are met under the commission system? Are they the same needs in the shoes and handbag department as they are in lingerie? Explain.

3. If you were Frances Patterson, would you go back to the previous compensation system, implement the straight commission plan in all Kimbel’s stores, or devise and test some other compensation method? If you decided to test another system, what would it look like?