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Network marketing is a marketing paradigm wherein the interconnection of the market actors and the transactions are greatly stressed. The terminology networking marketing in popular usage is a synonym for multi-level marketing or MLM. Sometimes, it is also mistakenly considered as the pyramid scheme.
Many are enticed with the promises of network marketing. Who would not be? The idea of making instant money and not requiring any special skill or any form of investment is very appealing especially to those who are with an immediate need for it. However, there is also a down side in this kind of business model. A short list follows just to give you an idea of the dark side of network marketing.
Network marketing or multi-level marketing are doomed by design.
If you consider that there is a possibility of succeeding by believing that the product is saleable without a doubt. Then once again, you are mistaken. All products and even services will only have partial market penetration. Not everyone would want to drink filtered water, or wear a particular shoe style, or avail of a service or product. In the real world of business, there is no such thing as an infinite market need for any product.
After all, if the MLM product is such a hit, is it not questionable that it is not sold in the customary marketing system as known by human society for over a thousand years now? It would not need any special kind of marketing scheme like the MLM. That is something to really think about.
Looking at the MLM design on a mathematical perspective, you will see the very obvious geometric flaw in the entire setup. Multi-level marketing works through geometric expansion. It is one vicious cycle of people recruiting people recruiting more people. This kind of business model leads to market saturation and it is inevitable. And sadly, the unfortunate person at the bottom of the chain ends up as the loser. It is because all that is generated are false hopes and money is lost in a senseless manner.
The organizational issue of a pyramid structure is ìwhere does the money come fromî? Don't you wonder about where the money comes from for the people at the top of the pyramid? Well, from whom else but the losers at the bottom of pyramid who believe they will see the money soon.
But if you are still thinking that multi-level marketing is the best way for you to earn the quick money, better start exploiting people early while the exploiting is still good.
Family and friends are to be treated as such and not seen as marks for exploitation.
Basically, the network marketing business grows by exploiting people's relationships. MLMs reward their people to recruit others. Often, the first targets for MLM recruitment are the so-called "expendable" friends. But if all else fails, some people jaded by the blinding promises of MLMs or as a result of desperation may end up recruiting family, even their mothers. And when the business fails, relationships are tampered.
But you are still convinced that network marketing is you great break to achieve that elusive success. Here are some helpful tips for wannabe MLMers. After reading of the dark side of the network marketing business model, it is best to know what you are getting into early on.
In selecting a network marketing company to participate in, pick one with a reputation of high integrity.
Select one that offers products that you can be passionate about. After all, how can you get someone to believe in the product you are selling if you yourself are a non-believer?
Be sure that the commission scheme of the business is laid out in black and white, and one that is fair. It is a business, and people get into it to make money. If you believe that the existing moneymaking scheme of the multi-level marketing organization you are eyeing at is not favorable to you and your goal, then look around for a more viable opportunity. With the tons of network marketing businesses around, for sure you will find the one that best suits your need and fires up your drive to success.
May this help you in your quest for network marketing success!
About the author:
Daegan Smith the owner of Net MLM Articles and the leader of the fastest growing team of successful home business enterpernuers on the net. Find out how we're creating financial freedom all across the globe and how to get in on the action FREE =>http://www.comlev.com
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