MLM or Multi Level Marketing: What the Heck is Multi Level Marketing?

multi level marketing

MLM or Multi Level Marketing: What the Heck is Multi Level Marketing?

Multi-level marketing is known as network marketing.

This is a kind of business where franchising and direct sales are combined. This business makes a person associated to a company in an independent transaction approach. It is an approach where the company creates a contractor relationship to the person who wants to expand his business.

So what is MLM?

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The members make their earnings based on the sales they have reached in that particular product or service. It also includes the sales of the person that they have recruited to join the business.

Most of the time the individual who has recruited more members and provided a good sales output on the product compensate higher because of the effort to transact in two different fields.

Is MLM a Scam?

There are “pyramid schemes” or Ponzi schemes, which are considered illegal. Most people associate multi level marketing to these kind of schemes because they also recognize themselves to be a legitimate networking business. Because of the bad image brought up by these schemes, many prefer to use their names for their businesses as “home business franchising” or “affiliate marketing”.

Commissions are earned in the process of selling a particular product or service in a legitimate network marketing company. There can be no earnings in what they call as a “sign up fee” or for just recruiting yourself alone.

This kind of marketing is always criticized because of the questionable recruitment process where they get their revenue and profit. They get their sales from members and new members, which are considered the end users of the product and as the distributors.

These criticisms led to the major changes in the multi level marketing in the early 1980s when many companies have started to allow their members to concentrate only on marketing and not on distributing or stocking the product. Most multi level marketing firms nowadays perform as fulfillment firms by taking the tasks of shipping the product, paying the commissions and taking orders from their clients.

Many people who are victims of the illegal schemes in multi level marketing are required to buy expensive products, but most of these schemes do not last long because most of the sales are not easily resold.

So listen folks… if your still one of those people who tend to believe everything you hear, start doing some research like educated folks and find out the truth about MLM.

It is a fantastic opportunity to make extra cash from home, get tax benefits, and possibly retire from that stupid job scam early.

(Unless you don’t want to stay at home with your kids and spend more time with your spouse…)

I will see YOU at the top.

brig hart

Joe Stewart 772 626 4271

Your friend on the inside… 😮

Author of Create Your Own Economy

P.S- Wanna work with me? Get more information about my company.

 

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Author: Joe Stewart

Author of Create Your Own Economy, Online Network Marketer for EPX Body & Founder of The MLM Times. Reach me at 772-626-4271

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