Agency Theory - Applied to sales incentives

The Agency theory@finance as it applies to sales incentives tells the following:

Assumption	1) The company and the sales people have different goals and in orde to function their goals need to be aligned. 2) Sales people are more risk averse then the company needs them to
Favours	Outsource sales force: 100% commisioned sales force
Problem	Lack of authority over the sales force. Sales force may choose to offset their risk by focussing on other products and actvities
Solution	Cnottract must encourage/reward the sales force to engage in reselling their products