Know the Difference Between Good MLM From Scams Pyramids Schemes
Pyramid Schemes are illegal schemes that pays people to recruit members into the scheme without any purchase of products. Such schemes have very few people at the top of the structure and many people at the bottom of the pyramid. People join such schemes in hope to profit from recruiting members.
In actual face, there is no difference in the structure of a pyramid scheme from a MLM company. But the earning concept is different, where in a good MLM company, you get to earn commission only when you make a sale, whereas Pyramid schemes make money from you.
Pyramid schemes are not sustainable as there is a limit of people joining the network. In most cases, the bulk of the members in a pyramid scheme will lose money and time, while the people in the top of the structure profits the most.
Many people associate the MLM technique with pyramidal schemes. An MLM does not work this way. You must do work to earn money"it is as simple as that.
The concept of MLM is to make use of as many people as possible to distribute the company's products and services. By promoting and selling the company's products, distributors are paid commissions. Besides selling products, distributors may be rewarded with incentives for sharing the business opportunity with other people.
The truth is, all organizations are in face pyramidal in structure. Most of the staffs are controlled by a few people high up in the structure such as the CEO and managers. The difference is that, distributors in a MLM company are not controlled and do not need to report to their superior.
A good MLM company should be one that allows you to build your income with sustainability. There is not limit to how much you can earn and long you can work for. You are a boss of your own.
In actual face, there is no difference in the structure of a pyramid scheme from a MLM company. But the earning concept is different, where in a good MLM company, you get to earn commission only when you make a sale, whereas Pyramid schemes make money from you.
Pyramid schemes are not sustainable as there is a limit of people joining the network. In most cases, the bulk of the members in a pyramid scheme will lose money and time, while the people in the top of the structure profits the most.
Many people associate the MLM technique with pyramidal schemes. An MLM does not work this way. You must do work to earn money"it is as simple as that.
The concept of MLM is to make use of as many people as possible to distribute the company's products and services. By promoting and selling the company's products, distributors are paid commissions. Besides selling products, distributors may be rewarded with incentives for sharing the business opportunity with other people.
The truth is, all organizations are in face pyramidal in structure. Most of the staffs are controlled by a few people high up in the structure such as the CEO and managers. The difference is that, distributors in a MLM company are not controlled and do not need to report to their superior.
A good MLM company should be one that allows you to build your income with sustainability. There is not limit to how much you can earn and long you can work for. You are a boss of your own.
About the Author:
MLM Absolute is an online learning platform for all MLMers, Network & Internet Marketers to be equipped with the right skils and attitude to excel in this business. To learn more about how to identify good MLM opportunity, visit MLM Absolute
