New Business

I never stop to be amazed by the diametrically opposed opinions on the subject of network marketing, both in the circle of my friends and also in my business environment. Some people are extremely passionate with it. Even top authors like Robert Allen, Mark Victor Hansen and Robert Kiyosaki not only they support and promote network marketing, but they also work actively in it. However, in many circles it is better to say you are a leper than to admit, that you are in network marketing.

My aim is to try to bring light on a very misunderstood concept such as web marketing, a method of selling products and services, which has existed for 25 years (or more) and which, in today’s era of global economic crisis acquires a new momentum, giving the opportunity to many people to be independent from the failed economic model of our time.

To help you understand what network marketing is, we must first explain what it is not. First of all, network marketing is not pyramid scheme.

The pyramid scheme is similar to those chain letters, which we all get in our e-mails. People invest their money just based on the promise that other people would pay money to be returned back to them and eventually, somehow, they will become rich. A pyramid is strictly a money game and has nothing to do with the real commerce. Normally, there is no product, just money changing hands. The sole purpose of such systems is to take money from their members and force them to find new suckers (oops sorry, I mean members), with the hope that they will take back their money and even more ... which of course will never happen because one day, when no more members are, the whole system will collapse and the people will lose their money ... especially those who entered last! Please note, that such systems have been identified by law as illegal.

In contrast to the above, network marketing (also known as multilevel marketing or MLM) is an entirely legitimate method of selling products or services through distributors or «partners».

The companies, which promote sales via network marketing, give you the opportunity, if registered as a member, to sell their products and receive commissions, both from your own sales and from the sales of any associates/distributors you recommend.

Such companies pay you commissions for your sales, for the sales of the associates you recommend (these partners are the first level), but also for the sales associates, who have been recommended by your first level associates your (second level). There are companies which pay fees for more levels (third, fourth or unlimited levels). All associates below you, is called your “downline”.

It is common in network marketing, that all the new associates pay a small fee to join the company, in order to have the right to sell the company’s products. This is the base model of franchising and applies to all enterprises engaged in trade; MLM is no exception. But I assure you, the financial contribution in a more traditional franchise is much higher than the cheap registration cost of any MLM program.

The American businessman Andrew Carnegie, who offered almost his whole fortune to charity, once said: «I prefer to take one percent of the efforts of 100 people than to take 100 percent of my efforts. »

And that is what network marketing allows you to do. Traditional methods of selling are based on a few selected "superstar salesmen". The network marketing is just the opposite: it is based on many people, who manage a small piece each and all together create a huge selling volume.

That is why I call this method: «The franchise of the people».

But listen to my advice: a network marketing system should only pay commissions for sales of goods or services, not for the recruitment of new associates. Stay away from systems that advertise that they will make you earn € 20.000 a month easily and quickly, because they are pyramids and you will surely lose your money.

The network marketing is not a quick way to get rich. It is a form of entrepreneurial activity and must be treated with the appropriate seriousness. Surely some people may acquire large amounts of money very quickly. Many would say that these people are lucky. But success in network marketing is not based on luck. (Unfortunately, the money will not make wings and fly into your bank account regardless of what they promise to you.)

Luck is the combination of knowledge, hard work and opportunity, all at the same time!

In order to succeed in network marketing, you must follow some very basic but powerful principles. Successful distributors, who join a legitimate network marketing opportunity, work hard to learn everything about the products and the business opportunity.

They then apply this knowledge through a structured process, by working at certain times each week. Each second of their effort serves their long-term operational success. They then support and put in their business more people, teaching them how to sell the products or services of the company and how they in turn will support more people. This concept is presented and supported in the "payment" or "marketing" plan of the company.

You don’t need to have a large starting capital or any specialized knowledge or training. This is a form of business that anyone can start from home at their free time, which can bring significant economic benefits. Most important however is the fact, that it gives to everybody the opportunity to widen their circle of acquaintances, making them feel that they belong to a group, transforming them into social beings ... and believe me, this is something that becomes rare in our society!

My target is to try to help as many people as possible to change their life and have security and freedom through MLM, which i call "the franchise of the people". If you would like to learn more about my business visit me at http://www.jobsforeverybody.net I might have something to propose to you!

Article Source: ArticlesBase.com - Network Marketing - The franchise of the people