Why Is MLM So Hated?

[dd7]

I LOVE MLM - one that is on the stock exchange and is seen by Forbes, Business Week and Fortune Magazines. The guy that stated it was a pyramid scheme, "Are you stuck in the 70's, pyramid's are illegal and are not on the NASDEQ!" Did you know the recent statistics: 70,000 people every day in USA are getting involved in MLM and 60,000 of them are woman. Did you know that MLM is China's #1 business and has been for a couple of years now. Donald Trump and Bill Gates both stated that if they had the chance to do it over they would go into Network Marketing. My suggestion is find a MLM that has a long history of consumable products that are changing people's health, in turn it will change their wealth. Just remember the next up and coming industry will be HEALTH - people are turning to alternatives because doctors are just medicating and operating - MASKING THE PROBLEM!!! I got my LIFE BACK with this drink after spending 4-1/2 years with doctors and surgeries!!! Think about it: "When you wear out your body where are you going to live?" I would love to share with you what will be a household name in the next 5 years!!!

[Bgdavid]

I challenge anyone to show me a successful business model that does not take the organizational form of a pyramid. The organization is not the issue, but, like so many things in life, people get fixated on the wrong thing, in this case the organization.
-----------

you do understand, right, that you misunderstand why pyramid schemes are called pyramid schemes, it's not the organizational structure, like businesses, it's the concept of paying to be part of the plan up to one person. Pyramid-shaped organizations are not the issue, duh!

But if you owned a company and hired everyone who paid you an entry fee and then never paid them a salary, no matter what you called it, no matter what the company did, they'd be called a scam.

But seriously, you don't understand pyramid schemes, so just leave that part alone.

Did you know that the government is a pyramid? Did you know that any business you are entered in is a pyramid? It all must flow to the top, whether you are running a mom and pop shop or a corporation in a traditional form.

Here is a website of a non traditional business and not a pyramid. It is direct sales model. WebLeads.net presents: Perpetual Leverage! It's a movie, but it will give an example of other types of business plans that are out there. Similar to the insurance industry what I am told.

And distributors are not employees, they are independent's that took the initiative to try better their lives, (entrepreneurs).

PS I'm glad that some one else started this thread as I'm tired of getting flamed from the misinformed.

[little guy network]

Warren Buffet is invested in three MLM companies. He only invests in companys that are profitable and succesful. Robert Kiyosaki says they are a great business model. Donald Trump said if he lost everything he would start in netwrok marketing. As far as a pyramid scheme. Better look at corporate american. Who makes all the money? The president as it should be but the laborers at the bottom would say they deseve the money. Its a perspective. everyone looks at it from there eyes. It is a viable business model that uses overides to pay there recruiters.And the legitmate companies have a PRODUCT! Insurance companies have used this model for years. Now these are not opinions but facts!

[AndrewJ]

Which ones are Warren Buffet investing in?

Andrew

[sara_brady]

I concur with many of the replies on this blog. MLM seems to much like a pyramid scheme, and pyramid schemes are not good for those not at the top.

[Crave Energy]

I totally agree with you Agelforums!

Networking is everywhere all the time, no matter what name you put on it. I like MLM! It's a fantastic concept, anyone can do it and because of that, there's so much scams.
Be careful when you look into a company!

I read this book and it really tells you the truth about the whole business:
www webrose.successin10steps com

Why would Donald Trump recommend MLM if there's only scams???

[dcrewakds]

First: Any Pyramid scheme is ILEGAL in the USA.

Second: Before talk about MLM, let's see which one is the compensation plan that you people say that just the one in the top gets the money!! I joined a MLM and Im doing pretty good, and I can prove ANYONE in this entire blog that MLM is one of the most recommended ways to start a business, said by Donal Trump, Robert Kyosaki John Maxwell and a lot of more successful people!!!!!

Before we start to talk about something and make some wrong judgments, lets educate first about the topic, I'm a professional MLM and i know about this business very well, because i start from the very first bottom and I'm doing pretty well now!!
And for those who said that you can't become and Entrepreneur in MLM, let me tell you something, MLM is not about signing people under you and get money of them, this is more about education and build relationship with the people in your team, and lead them to reach their goals. You need to think FIRST on others before you can think of YOU, because, helping others is the way that you can help yourself.

For those who still don't believe in MLM, I can say that you are missing a great opportunity of educate yourself as a person and help others.

I do admit that there are TONS, A LOT, of Scams MLM's out there, and you need to be very careful who are you associating with!....

I can recommend anyone, that First! Do some researches about the company.
Also the company needs an UNIQUE product that you can't find at any store, and the MLM also needs a Location (Physical address) and a good compensation plan!!!!!!

[LiveWise]

The right MLM is great. If you read "The 5 Lessons I Learned From a Millionaire" by Richard Paul Evans, He speaks directly about this subject. There are more than 12 million Americans participating in an MLM.

He talks about how when he was 8 years old, his dad joined an MLM and bought a garage full of soap. The cars were never parked in the garage again. The kids played with the boxes and made tunnels and forts, but that's about all that happened.

The past few years, business experts like Warren Buffet and Donald Trump have started touting the benefits of home-based businesses and MLMs. Due to abuses of the past, there have been changes in the network marketing industry. The industry is now highly regulated and more people are winning.

Advantages of MLMs are: Ease of entry, training, simplicity, company support, low investment while maintaining a huge potential upside. There are single moms without college degrees who have become wealthy through an MLM.

Not all MLMs are created equal. Here are 7 pointers he gives to find a legitimate MLM.
1. Low Start Up Cost--be wary of any company asking for more than $200 to join. Legitmate companies don't try to make their money off of start up fees.
2. Guarantee--Will the company buy back product? Under what circumstances? This will show whether the company is trying to make money off their distributors or help the distributors make money.
3. A Legitimate Product--Avoid Companies who offer pills and potions with exaggerated health benefits. Many are coming under scrutiny from the FDA
4. Value --Many times MLMs offer expensive products that can be purchased for substantially less from other places.
5. The Company should focus more on the Product sales than on Recruiting.
6. Avoid Companies with complex compensation plans and difficult qualifications. Straight forward, honest and fair companies have straightforward, honest, and fair compensation plans.
7. If the company of a distributor of the company claims you can become rich without working, RUN FOR COVER!!!

Good Luck to all the MLM entreprenuers. Hard work and patience make a difference. Dont' get stuck in it for too long. After one year, you should probably be breaking even. After year two, if you aren't making a profit, you may want to consider getting out. That MLM is probably not a good fit for you.

These are all fair to assume that we want to get involved in MLMs that will benefit others. It is also fair to say that not all MLMs will just take your money and run. If you would like to hear about a legitimate opportunity by Richard Paul Evans, write down this passkey: 106483 then go to WinningInTheMargins.Com

Natalie

[LiveWise]

One More thing--

Donald Trump was on a Late Night Talk show a few months back. I think it was David Letterman. Letterman asked Trump what he would do if he lost all his money tomorrow. Trump replied that he would join a MLM company. The audience laughed and so did Letterman. After a few moments, Trump stated the That's the reason I'm sitting where I am sitting and you are sitting where you are.

Natalie

[XRay]

Not true Danny-B
Thousands if not millions world wide are making a good living off MLM.
In some countries it's their only hope.

I've make my living from home from a networking business and MLM. There is a difference between the two.

Most do not seek to get rich over night and if they make an extra $500 a month it changes their lives.

[XRay]

One More thing--

Donald Trump was on a Late Night Talk show a few months back. I think it was David Letterman. Letterman asked Trump what he would do if he lost all his money tomorrow. Trump replied that he would join a MLM company. The audience laughed and so did Letterman. After a few moments, Trump stated the That's the reason I'm sitting where I am sitting and you are sitting where you are.

Natalie

That's an urban legend and myth livewise and years old.

[XRay]

Simple question as I am new to this forum...Can you people communicate with out the use of fowl language?

I'm surprised you have not been shut down.

Geez folks I know you may be totally against a method of earning an income, but can you not discuss it objectively and maturely with out the language?

[trashjoe]

like anything it depends on who you talk to. if they were successful they are for it if not they are against it. i have had a few experiences with it, and was not successful, i was sold on the impulse excitement of a sponsor but gave it a shot anyway. in my opionin timing was a key factor and another important factor is product. pyramid scams have gotten the reputation because of just that. mlm is an extreamly powerful marketing tool once it gets moving and that is why there are so many scams involved with it. like anything else there are good products and bad ones, it is important to be able to read it, like anything else.

[trashjoe]

natalie, my name is joe and i have a dumpster company out of michigan. i have tried mlm in the past and was not successfull. however the concept is very real and not all mlms are scams. i recently gave it another look and am looking the the forum for input. would you be willing to check it out and give me a valued opinion. i've been self employed since i graduated from state and am always open to opportunity. trashjoe@hotmail.com

[trashjoe]

i don't have the experience that you have with mlm but am not afraid to take chances. if yoou would check out this mlm and give your honest feedback www.joejoebhipglobal.com