CHAPTER-1
INTRODUCTION
The objective of this research is to identify the reasons behind why sales team are not able to achieve their sales targets especially in telecom industry. Through this research we will try to find out the targets as being set by a company and the actual level of sales made by it. The following data suggests that in recent years the telecom industry’s sales have fairly decreased. One, Only average 60 % of active users are in market which leads to decline in voice sale.( TOI article 30-June-2011). Second, Total sales of telecom equipment to mobile operators fell by a drastic 24% during the last financial year despite most companies starting their roll-out of 3G services (Real Time News). Third, Decline in capital expenditure from Rs.29,600 crore in 2008 to Rs.9,500 crore in 2010 (Business Line article 15-Aug.-2011). Fourth, Decline in margins of product and, Fifth, Hyper competition in market.
This shows that there is pressure to perform in competitive environment to achieve sales targets. Many authors feel that a wholesome and fair work environment on sales teams is essential for a positive work experience (e.g., Clifford, 1999; Cook, 1995). One of the issues that continue to concern sales people as well as sales managers is that of performance criteria and such criteria can be frustrating for both of them. (Clifford, 1999; Fetter, 1993; Muczyk & Gable, 1987; Swan, 1991). The sales force industry has grown since mid-1990s (Gabe & Goldberg, 1999). As the economies become increasingly knowledge intensive, sales teams tend to sell knowledge-based solution to customers. (Bettencourt et al, 2002).An essential part of selling knowledge-based solutions is transferring knowledge to customers; therefore, sales people need to act as knowledge brokers (Sarvary, 1999).
Significance of the Study Sales target is the amount of sales fixed by