MLM -- Bad or Good ?

Have you heard people talk about MLM being a scam businesses ? I believed there are many, especially those around you and people whom you call friends or relatives. But upon further clarification of the statement, I can guarantee you that majority of them will say that they HEARD it from some other sources, which can also be untrue and non-verified.

What exactly is MLM ?

It is called Multi-Level Marketing also commonly known as Network Marketing today. Multi-Level marketing is the same thing as Direct Sales, yet no one ever questions about the integrity of these direct sales companies.

Some of these MLM companies identify themselves as Direct Sales, Network Marketing, Consumer Direct Marketing or People-to-People Marketing. No matter how you categorize it, they all do the same thing! They Sell products or services and their intention are to bring new people into the business so that that the group can grow to earn bonuses and additional incentives.

Depending on the marketing plan of the company involved, you earn money from your group effort and are paid accordingly to the various levels of activities involved. Everyone that joins you or sponsored by you can generated income on their own, as such they are also known as Independent Business Owner or Distributors.

In order to make money, they function as their own Sales Unit doing their marketing or sales of products by using a common system that the group or you would have created. Since all the level of your distributors are in marketing and sales, it is usually referred as Multi-Level Marketing !

As in any industries, there are bound to have bad apples that spoilt the basket. Needless to say, it occurs in the MLM industry too. Some leaders resort to all sorts of tactic just to make the money they want without due hesitation to others suffering. Some of these leaders were actually terminated by the company concerned. When they left the business, they start to bad-mouth the industry thus causing all the mis-conception you heard today. Of course there are some distributors after failing to make it successfully in the business also started to give false advises to their family and friends. As with any business, success does not happen over night.

Look around you ! There are some businesses that performed much worse than a MLM company but no one "crucified" them like they did to any MLM company.

My advise is that you must find out the facts about Network Marketing before jumping into conclusion. Does this FREE eBook by Ann Sieg looks negative to you ? 7 Great Lies of Network Marketing. I would recommend you to read it !