What is the main limitation of using the single-factor analysis method for classifying accounts?
A) The importance of small customers tends to be overrepresented in single-factor analysis.
B) The single-factor method for classifying accounts does not take into account any variation in sales effort expended by the previous salesperson.
C) Accounts with high sales potential tend to be overemphasized by the single-factor analysis method.
D) A single factor such as sales potential is often inadequate to properly allocate selling effort between accounts.

Question

Quizplus · Accepted Answer

The main limitation of using the single-factor analysis method for classifying accounts is that a single factor such as sales potential is often inadequate to properly allocate selling effort between accounts. This method does not take into account the complexity of the sales environment, which includes many factors that may affect an account's sales potential. Therefore, it is essential to use a more comprehensive method, such as the multi-factor analysis method, for classifying accounts.

What Is the Main Limitation of Using the Single-Factor Analysis