Proverb says, Unknown, Not So unfortunately. That is what may be suited to explain why people view tilted about Multi-Level Marketing business (MLM). Therefore, once offered this business opportunity, people will run away and a thousand steps to not see the opportunities offered.
In fact, if we know about the system, we will see that there is nothing to fear.
Multi-Level Marketing, or often referred to as MLM, is another marketing ploy to sell goods directly (direct selling). Direct selling / direct sales itself, its understanding is the sale of goods and / or services to consumers by way of face to face outside the fixed retail location by marketing network developed by Business Partners and worked on commission sales, bonus sales and membership fees are reasonable ( www.apli.or.id). Direct Selling in the run, usually a corporation using a two ways, namely:
1. Single Level Marketing (Marketing One Level), the point is:
Methods of marketing goods and / or services from the system through a direct sales marketing program in the form of the level, where Business Partners earn sales commissions and sales bonuses from the sales of goods and / or services do for himself.
2. Multi Level Marketing (Multi Level Marketing), the point is:
Methods of marketing goods and / or services from the system through a direct sales marketing program in the form of more than one level, where partners earn sales commissions and sales bonuses from the sales of goods and / or services do for himself and members of the network in the group.
Judging from the understanding, there is nothing to be scared of Multi Level Marketing system. But still we must be careful in choosing a direct sales company. Some of the things listed below should be considered when we choose a direct selling company:
A. Business partners may only purchase a membership from the company only once.
B. The Company shall not give advantage to business partners only on the recruitment
of new members.
C. In the company, there must be goods or services traded and used by consumers.
D. Goods are not used merely as a cover, which will be seen when the goods are sold
at a price that is not fair.
E. Gains or profits derived by the members are mainly based on the sale of goods or
services to consumers, rather than recruiting new members.
F. There is training on product knowledge and how to sell to business partners.
G. There is a buy back guarantee (a guarantee to buy back after deduction of all
associated costs) of the product or the company is still worth selling inventory
owned by the members when a member resigned from the company.
So do not be afraid if you are offered a direct selling business. With a direct selling business, the capital cost will not be for having my own shop, because normally we would not be asked to dump the goods, but sell through catalogs, we can take it anywhere.