Network Marketing or MLM Is it Safe---Should I get Involved?
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What is a network marketing business?
What is a network marketing business? Network-marketing is a legitimate business model. Dr. Charles King of the University of Illinois at Chicago seriously questioned the validity of network marketing as a business industry when one of his students challenged him with a paper that was submitted on the topic. This was in the era of middle management downsizing in the US in the early 1990s and managers were coming back to their alma mater looking for more education to equip them further for job opportunities. Dr. King found a surprise when he did due diligence. He found enough economic growth, business credibility and global business volume in network marketing that he developed education modules on the topic.
Alternative Income Streams
Network marketing has endured ridicule in many ways over the years of companies starting up and collapsing. The earliest record of a network marketing business is recorded in 1937 as Wachter's. An article in Network Marketing Lifestyles by Rod Cook gives a brief timeline of start up companies who did especially well in difficult economic times since 1937. Several of these are still in business globally today. These companies have created many, many financially independent entrepreneurs.
In Hot Times Ahead in Network Marketing Lifestyles; Rod Cook writes: "When recession hits, those with any intelligence are going to scramble to find alternative sources of income. In their frantic searches, they are going to find that the best of all alternatives is network marketing. "
Point of sale
Network Marketing companies set up a model of distributing their product, the first being a seaweed supplement, through men and women as sales representatives. They expanded their markets by word of mouth, personal success with product and income. Network marketing is simply a model of distribution. You are making a point of sale of an actual product or service with the overhead costs of advertising, employees, bricks and mortars investment. You are in fact exchanging goods for money. It is not an exchange of money for a hope that you will make more money which is illegal.
The network marketing opportunity or, multi-level-marketing (mlm) is an equal playing field for anyone of either gender, education, location...nothing has to stand in the way of getting started in network marketing. You become an business owner, independent from the corporate organization of your company. You are in business for yourself earning income from your personal efforts to apply network marketing training. You put into practice, the marketing strategy your parent company provides.
What is MLM?
It is simply the power of the network marketing model that allows you to increase your earning potential by recruiting others into your organization to also sell your product, receive network marketing training from you. You are assisting them to be successful. You then receive increments of income on their business volume. You are earning increments of income on multiple levels of marketing.
MLMis a win win situation in that the more you help others, your goals and met. When your distributors do the same, it multiplies down through the team.
That is part of the beauty of network marketing, is that everyone has equal opportunity to achieve whatever level of success they want.
As in any other decision you are making that affects your home, future and time commitment, you will want to do your research. There are lots of companies out there clamoring for your attention. When you are looking at a network marketing opportunity, be sure to have all your questions answered.
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Comments
In his book, The Business School for People Who Like Helping People, Robert Kiyosaki says that comment about network marketing.
Yes, I heard Dr. King speak at a convention and it was a very powerful validation for networkmarketing as a business industry.











Renegade Coach says:
15 months ago
Thanks for the interesting history lesson! I saw Brilliant Compensation several years ago but didn't know the background.
Didn't Robert Kiyosaki say that if he had to do it all over again he would choose network marketing?