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Misselling through Agents

Marco Ottaviani, Northwestern University
Roman Inderst, LSE

Abstract

How to incentivize sales agents to sell, but not to “missell” to customers for whom the product is unsuitable? Analysis of the internal organization of the sales process, the commitment effect of transparency of commissions, and the role for self regulation and policy intervention.

Suggested Citation

Marco Ottaviani and Roman Inderst. "Misselling through Agents" American Economic Review (2009).