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African Research Review

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The Influence of Compensation on Performance of Sales Representatives of Pharmaceutical Companies Based in Ilorin –Nigeria

G Umar

Abstract


Almost all employers tie at least some portion of their workers’ pay to the
workers’ and / or the company’s performance. Employees do not see a strong connection between pay and performance and employees’ performance is not particularly influenced by the company’s incentive plan.
The study specifically identified the link between rewards and individual performance; and the types of rewards that elicit greater performance among sales people. The research employed questionnaire to collect data from respondents. Two research hypotheses were formulated and tested. The data used were primary data. Convenience sampling was used to select samples. Data were analysed by the use of Pearson’s Chi –square technique (X2).The study indicated that 56.00% of the respondents had between 1 -3 years experience as sales representatives. 46.00% of the respondents indicated that salary alone influenced their performance. The hypotheses indicated that there is no significant relationship between demographic variables with performance except experience of respondents which significantly influenced performance. There was a significant relationship between rewards and performance. The study recommends that experience of salesmen should be a plank to determine their compensation and salary should be emphasized rather than combination  of salary and commission to enhance better performance.



http://dx.doi.org/10.4314/afrrev.v4i3.60258
AJOL African Journals Online