What is Multi Level Marketing commonly referred to as MLM? This is a form of marketing better explained with the term network marketing which simply means that in selling your products you utilise relationships that are both above you and below you in the structure.
The main aspect that turns people immediately off MLM is the association they have with pyramid schemes. And it is at this very point that who ever is trying to introduce this seemingly complicated means of marketing is left with the difficult task of drawing comparisons between the two system.
A great pity because pyramid schemes are illegal, they are bad and they are scams. Reasons is very simple, there is no product or service being sold. Instead a lot of money is exchanged between a number of people and there is no authorization or means to generate the profit that the few achieve.
With MLM actual services or goods are being sold the main difference being how they are marketed and distributed. This is by face to face selling.
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