Networking VS Pyramid Scheme

     

What comes to mind when most people hear the term NETWORK MARKETING/MLM?

Scam? Recruitment? PYRAMIDING?

Let's try to differentiate the two:

FACT: PYRAMID SCAMS does not involve legitimate products/service. Pyramid scams

concentrate on recruiting people and the sad part is, you will not have a 

financial return unless you successfully introduce someone new to the

company.

FACT: While most NETWORK MARKETING/MLM company has a structure of a pyramid, it does

not necessarily imply that its one of those scams. Let me give you some 

examples to think about . . . 

How does this examples apply to NETWORK MARKETING? Let's put it this way.

In the family tree example, it is natural that the grandpa and grandma comes

first before the father, mother, and their children. 

Next, in the school hierarchy. The principal comes first before the teachers and

other employees.

Finally, it is just fair that the winner is above the 2 runner ups right.

What I am trying to say is that NETWORK MARKETING/MLM is the most fair industry

when in comes to business. Why? Lets say person A is the first one who discovers 

a MLM company, he joined and studied the business and shares it to friend B and 

friend C which eventually, both of them joined. 

QUESTION: Will friend B and friend C know about the company if it wasn't for friend A?

Its a no-brainer.

Let's proceed with the facts about NETWORK MARKETING/MLM. 

NETWORK MARKETING is a distribution model that allows a company to sell their 

products directly to the consumer. MLM does not solely rely on recruiting in order for 

their members to earn a paycheck. 

MLM has also a team building concept in which the LAW of LEVERAGE apply.

             “I would rather earn 1% of 100 people’s efforts than 100% of my own efforts” 

- John Paul Getty (American Billionaire) 

  

FANS/SUPPORTERS of MLM:

“If I lost everything and had to start again, I would find myself a great network marketing company and get to work!” 
- Donald Trump (David Letterman Show)

“I am often asked if Network Marketing is a Pyramid Scheme. My reply is that corporations really are pyramid schemes. A corporation has only one person at the top, generally the CEO, and everyone else below.” — Donald Trump, Entrepreneur and Author

“Network marketing gives people the opportunity, with very low risk and very low financial commitment, to build their own income-generating asset and acquire great wealth.” – Robert T. Kiyosaki, Entrepreneur and Author Rich Dad Poor Dad

“Network marketing is the big wave of the future. It’s taking the place of franchising, which now requires too much capital for the average person.”— Jim Rohn, America’s Business Philosopher

               “Network Marketing is an equal opportunity opportunity.” – 

                                    Michael S. Clouse, 

                                                         Network Marketer and Trainer

       

                               — Paul Zane Pilzer, Nobel Prize Winning Economist and Author

I hope that I was able to diffentiate the two. Thanks for reading