Legal Network Marketing |
When searching out a legal network marketing opportunity, some factors should immediately raise a red flag for potential distributes. Products that seem to have no demand or value in the marketplace are obviously not part of a sound business plan. Merchandise that seems to have a highly inflated price will not sell well, and therefore will not provide much opportunity for profit for the participant, and may, in fact, be a warning sign of a swindle. If an organization demands that participants buy a number of accessories or additional services, this may also be a sign that the program is deceptive. Of course, any time that a great deal of emphasis is placed on recruiting new product promoters, this can be a major red flag. A legal network marketing organization must meet certain standards that are established by the Federal Trade Commission. The FTC requires that companies have a basic percentage of their total sales coming from retail sales rather than from items that are sold to representatives. A reputable organization will make these figures available to potential participants. Any program or company that refuses to do this should be avoided. The same goes for any program that stresses recruiting over sales. Getting involved with organizations that pretend to be legitimate but are actually thinly disguised pyramid schemes is a big mistake.
The idea of legal network marketing is not a new one. There are many organizations that thrive on the work of independent sales people who function as product distributors. This may be done though door to door sales or home parties, but today is frequently accomplished on the Internet. Taking the time to find a legitimate organization from the very beginning can save a lot of heartache. The Bible explains the attitude that God wants believers to have toward all people, even those who take advantage of them. But love ye your enemies, and do good, and lend, hoping for nothing again; and your reward shall be great, and ye shall be the children of the Highest: for he is kind unto the unthankful and to the evil. (Luke 6:35)
While the origin of legal network marketing has it's roots in door to door sales, technology has changed things. Still, the basic concepts remain the same. The idea of assembling an army of salespeople who sell to family, friends, and neighbors is an old, but still effective one. Abuses of this system led to legislation against any kind of pyramid scheme that advertised itself as a sales opportunity. Hybrids of the pyramid approach are prevalent today, often working within the confines of the law, but not always producing income for all participants. Whatever approach a would be entrepreneur might choose, careful examination of the organization's basic terms and pay structure is always called for.
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