In the top-down quota setting method, where does the initial revenue target originate?
Answer
From the overall company revenue target set by executive leadership.
The top-down method begins with the total revenue target established by executive leadership, which is then allocated downward to individual sales representatives.
Related Questions
What does a sales quota primarily represent in a revenue-generating organization?What function does a quota serve in relation to team performance evaluation?What is the direct relationship between meeting the quota and a salesperson’s take-home pay?In the top-down quota setting method, where does the initial revenue target originate?What critical data analysis is central to the bottom-up approach for setting quotas?Why might new hires often receive lower initial sales quotas than veteran representatives?Which type of quota measures the final result rather than the efforts taken to achieve that result?If a salesperson consistently hits activity quotas but misses revenue quotas, what underlying issue might this suggest?What is a direct consequence for an individual when their sales quota attainment is low?What reliance must effective modern sales quota management place on systems for continuous monitoring?