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Definition

Territorial sales force structure

Territorial sales force structure refers to a sales force organization that assigns each salesperson to an exclusive geographic territory in which that salesperson sells the company’s full line of products or services to all customers in that territory. This organization clearly defines each salesperson’s job and fixes accountability. It also increases the salesperson’s desire to build local customer relationships that, in turn, improve selling effectiveness. Finally, because each salesperson travels within a limited geographic area, travel expenses are relatively small.

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