Abstract

This research addresses significant gaps in the application of distributive fairness to sales management. A study of sales professionals from across several industries details how the equitable distribution of rewards affects important job outcomes such as satisfaction, voice (constructive suggestions for improvement of the firm), and exit (quitting the firm). The study also demonstrates that equity judgments are derived, and differently affected, by referent comparisons including other salespeople within the firm, other employees within the firm, and salespeople from outside the firm. Several conditions that describe the sales environment are shown to moderate these effects and, consequently, what is perceived as “fair” and “unfair.” Together, these insights reveal the underlying mechanics in judgments of fairness (yielding a richer theory) and contribute to better managerial practice.

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