Articles by 邱晓华

Commission-Based Pay: Is It a Good Approach?

Private enterprises often say: "Heroes are judged by performance, and those who collect more payments naturally earn more commission." However, performance is merely the "effect"; few consider the "cause" that ensures performance. As a senior marketing executive in the FMCG industry, I have long pondered why successful and enduring companies seem to avoid commission-based pay, especially Western firms. Just as the Chinese national football team's failures stem from lack of skill, not insufficient rewards, businesses must focus on building capabilities rather than solely rewarding outcomes.