Business General

The Truth About Referral schemes that Ruin the MLM Industry

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We need to get some facts clear and quick. I have nothing against the Multi-Level marketing or network marketing companies that are truly global and usually have an admirable line up of products that are of immaculate quality, albeit, expensive ( Well, you get what you pay for!). I had been ( I still am!) a part of a couple of such amazing companies whose products I have come to love and get used to.

However, I am deeply concerned about these get-rich-quick, money-makes-money type of schemes which have no product or service to offer and promise multi-millions to innocent victims who fall for those beatiful notes dollars seem to produce. You join, buy yourself in and then work your butts off to see that others join under you - binary or single ( does it matter?)

I wonder why anyone would join a company which has nothing to sell or no service to provide? Can’t there be a possibility that they can be tall claims? There are so many scam artists out there and the number only seems to grow by leaps and bounds, how would you know what is legitimate and what is not?

Well, you simply wouldn’t know. But then, there are certain laws in economics that you can’t bypass. You see, in a free enterprise economy, a company or an individual can make profits only by producing something of value, real or apparent and nothing can ever beat this premise. This is fundamental. This is the gospel truth. Nothing can taint it. if it ever does, you will know you are in trouble and that you are fleeced.

Amway, herbalife, Oriflame, Tupperware, SFI and a host of other companies are all legitimate and have products and services that are all of some conceivable value. Expensive or not, their selling strategy is to leverage humans as their advertising model and the leverage part is simply that new recruits ‘Duplicate’ what their sponsors do, such that everyone makes money. It is a part-time business opportunity and has to be treated that way. Immediate money? Not possible. Just like any other business, it does take time and tremendous amount of effort.

Please do try to remember that whatever business opportunity you are presented with, do a little bit of research before you burn yourself out.

Say NO to shady ponzi schemes.

© 2008 rebelpreneur.com.