Marcello asked: Has it been proven enough yet that these generally are set up as ponzi schemes, and those that are actually legal have products that no one could make a living selling on their own, thus making the recruiting part necessary?
I am sure there are those who will respond with their company being the best and wanting to get my email etc…or those who are making big bucks but won’t show me a financial statement despite calling this a business opportunity (who would start a business without seeing operating statements?). But I want to hear from those who are actually convinced about network marketing/mlm without having to sort through the above mentioned replies.
So, is anyone out there, or is is this industry dead?
ibofightback - thanks for the answer, but going over your numbers I had to comment.
You say Network Marketing Firms distribute over $100 billion a year in goods and services and there are 8-10 million distributors…well simple division means that is $10,000-$12,000 annual sales/distributor!!! Even at 50% commission you could earn more with minimum wage in a year!
With all due respect, your numbers give more credence to the belief that network marketing/mlm is a pure ponzi scheme than anything I have heard.
It seems to me more than ever that the issue with network marketing/mlm is that its all about recruiting others to do the work, and not selling the products themselves. Of those 8-10 million distributors, how many can possibly be distributing enough on their own merit to make a living? Its all about making money off the efforts of others isn’t it?
Chris
