A sales quota is a measurable goal for individuals or teams, set by revenue, volume, profit, or activity, within a defined timeframe. Quotas drive accountability, performance evaluation, and alignment with company objectives, while motivating salespeople through clear targets and incentives. Effective quota-setting requires market research, analysis of historical data, alignment with business goals, and input from sales teams. Common pitfalls include unrealistic targets, ignoring market conditions, and lack of flexibility. Monitoring, regular reviews, and documented adjustments ensure quotas remain fair and achievable, preserving motivation and supporting long-term business success.

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