Transcript What Is M L M

WHAT IS
M L M
First Off !
What's legal and legitimate?
To help you understand
what network marketing is,
Multi
LEVEL
Marketing
Is Not A
Pyramid Scheme.
Pyramids are
programs similar to chain letters
where people just invest money based
on the promise that other people will
put in money that will filtrate back to
them and somehow, they'll get rich.
A pyramid is
where money is paid out
and no product or service is received.
A pyramid is strictly a money game
and has no basis in real commerce.
Normally
there's no product involved at all,
just money changing hands.
Modern-day pyramids
may have a product,
but it's clearly there just to disguise
the money game.
Pyramids are illegal
and are based on
taking advantage of people.
In a pyramid scheme
For a person to actually make money,
someone else has to lose money.
But in network marketing,
each person can multiply
his or her efforts, skills
and talents by helping
others be successful.
Network marketing
Has proved
itself as part of the new economy
and a preferred way to do business
here and around the world.
Network marketing
Is a legitimate business.
It's based on
Providing people with real,
legitimate products
they need and want
at a fair price.
While some people
Do make a lot of money
through network marketing.
their financial benefit is always
The result of their own
dedicated efforts in building
an organization that sells
real products and services.
Network marketing
Is Not a get-rich-quick scheme.
Of course some people do make large
amounts of money very quickly.
Many would say
Those people are lucky.
But success
in Networking Marketing
is not
based on luck.
Unfortunately,
money won't sprout wings and fly
into your bank account no matter
what someone has promised you.
Success
In Network Marketing
is based on following some
very basic yet dynamic principles.
Network marketing
Is
a serious business
for serious people.
It's a proven system
Where the design,
creation and expense
the corporate team
has gone through
becomes a road map
for your own success.
Just follow
The simple,
proven and
duplicable system
that has been provided.
The real key is this:
Network marketing
is all about leverage.
You can
Leverage your time and increase
the number of hours of work effort
on which you can be paid by sponsoring
other people and earning a
small income on their efforts.
Would you
Rather make 1 percent
on the efforts of 100 people
or
100 percent on your own effort.
This very basic concept is the cornerstone of
network marketing.
For example,
Most successful people
building a
network marketing business
do so in an organized method.
They work
A few dedicated hours each week,
with each hour of effort
serving as a building block
for their long-term business growth.
Then they
Sponsor other people
and teach those people how to
sell the company product and
sponsor others
who duplicate the process.
By helping
The people you personally sponsor
to sponsor others,
you duplicate yourself.
As this process continues,
You create compound growth
that can lead to hundreds
or even thousands of people
coming into your business.
You leverage
Your time by helping others
be successful and earn
an income from all their efforts.
With network marketing,
There are no big capital requirements,
no geographical limitations
and no special education or skills needed.
Network marketing
Is a low-overhead,
home based business that can actually
offer many of the tax advantages
associated with owning your own business.
Network marketing
Is a people-to-people business
that can significantly expand
your circle of friends.
It's a business that
Enables you to travel and have fun
as well as enjoy the lifestyle
that the extra income
can provide.
MLM or Multi-Level Marketing
is simply a term used to describe what is
probably the most efficient and exciting
method of moving a product from
( THE MANUFACTURER )
to an end user
( THE CUSTOMER.)
MLM is a system
of multi-tiered
bonuses and commissions
designed to reward
those involved
in the process of
distribution of products.
To truly understand how MLM works.
We need to understand that all products
from milk, bread and cheese to complex
heavy industrial machinery are
distributed to Customers through
a multi-tiered system of
commission payments.
Payment Is Made…
As each tier handles certain aspects
of the distribution process,
so they are paid their commission
or bonus accordingly.
This multi-tiered system of
product distribution
could include the following...
Bonuses and Commissions
Retail And Retail Margin
 Advertising Cost’s And Freight
 Local Wholesaler
 Regional Wholesaler
 National Wholesaler
 Manufacturer Agent
 Manufacturer
And of course
the Customer is the one who pays
the retail price and pays for the above system.
The exciting aspect of MLM,
is that many of these layers
Of payments are unnecessary and can
Be re-directed to the many thousands
of Distributors that make up the sales
and marketing function of the Company.
Each Distributor is rewarded
for two functions
in the sales
and
marketing process:
Retail Sales
The sale of
product to a
Customer
Sponsoring
The recruitment of
new Distributors to expand
the Distributor Network
for the Home Based Business.
The more productive
The Distributor is in
performing these
two functions,
The more senior
They Become in the organization,
moving to higher,
more lucrative levels of compensation,
rewards and recognition
in the Marketing & Income Plan.
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