What is MLM or Network Marketing

Network marketing is a business based on partnerships. Its other name is MLM or multi-level marketing. The difference between network marketing and traditional business is significant.

Let us consider in detail what MLM is. Its essence lies in the fact that a direct sales company organizes sales by creating a network of partners that carry out the bulk of the work of finding customers. In this case, people involved in the promotion of goods are also customers of the company, since they make purchases at wholesale (distribution) cost. Then resell products at a higher price. The company spends less on advertising, its customers take care of selling goods to customers.

The percentage of sales is not the only plus when working in network marketing. What is MLM? This is, first of all, the company's own business distributors. Network marketing is beneficial for partners because they get a good reward for their work. So, for attracting new people to the company, active distributors are paid an additional fee for the turnover from their entire team. Such income is called passive, because once having invited a person, registering him and training, the partner now receives constant deductions from his work. But often the structure of such a leader grows to tens, hundreds, thousands and tens of thousands of people. In this case, the income continues to flow to the founder of the structure. Thus, in a few years, any person can secure a prosperous future.

Many people ask themselves: “What is MLM business?” First of all, this is a huge job in promoting products, in recruiting new distributors. But the reward for the efforts made cannot be compared with the payment of ordinary work. It is in the field of network marketing that a large percentage of millionaires are now. This applies not only to European countries or America. A huge number of MLM leaders in Russia.

Consider network marketing - what is it, what terms are used in this business? Marketing plan - these are the rules in accordance with which all accruals to distributors of the company occur. It identifies all types of income and the conditions under which it is received.

A check is a monetary document with the payment indicated on it. It also indicates the partner to whom the payment is made and other necessary data.

Auto concept is a term that has increasingly been used in network companies. Particularly active partners have the opportunity, when fulfilling their plan for commodity circulation, defined by the structure, to receive a car.

What is MLM for most of the Russian population? Many people believe that network marketing is a fraudulent event, thanks to which especially impudent people want to collect more money in their pocket. In fact, MLM is an opportunity to have your own business for people who cannot open their own company. Any network company is absolutely legal. A negative opinion is formed by the fact that distributors promise new partners “golden mountains”. Yes, the opportunity to make money in MLM companies is huge, but people forget that first you need to make great efforts. Moreover, the first few months, the beginner will mainly hear refusals, ridicule and unpleasant statements. But if he crosses this line, finds confidence that he will continue to follow the right path, the opinions of other people will not be important to him. A person will strive for his goal, as he knows that he will succeed in the company. And in the future, people who are now taunting will simply envy his victories and perseverance.

So what is MLM? This is an opportunity that anyone can take advantage of. Network marketing leads to financial independence, free disposal of their own time. And whether to choose a business in an MLM company or to remain at your previous job is the right of every person.

Source: https://habr.com/ru/post/B6772/


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