Multi-level marketing (MLM), also known as Network Marketing, is a business-distribution model that allows a parent company to market its products directly to consumers by means of relationship referrals and direct selling.
Independent, unsalaried salespeople of multi-level marketing, referred to as distributors (or associates, independent business owners, franchise owners, sales consultants, consultants, independent agents, etc.), represent the parent company and are awarded a commission based upon the volume of product sold through each of their independent businesses (organizations).
Independent distributors develop their organizations by either building an active customer base, who buy direct from the …show more content…
So network marketing is a fair and ethical way to do business. It avoids waste, it rewards people for the work that they do, and does so on a continual basis - as long as the company continues to make money from your efforts, you will get paid. Even if those efforts were ten years ago! Moreover, it encourages people to help you to succeed, which for many people is a truly welcome break from the backstabbing and office politics that accompany so many conventional jobs.
Many people worldwide have developed a very substantial residual income from network marketing. A residual income is one that keeps coming in month after month based on work you have already done. The more work you do, the more your income increases. If you do no work then your income will usually remain about the same but you still get paid! If your organization is big enough then it might even continue to increase without any further input for you - there are lots of people in your group making money too, and they want to make even more!
HOW DID NETWORK MARKETING START?
Network marketing has been around for nearly fifty years. It started in the US, and the first major modern network marketing business was formed in 1959. This company was created by business partners Rich DeVos and