multi-level marketing

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multi-level marketing

a system of selling a firm's product which involves a ‘pyramid’ of sales persons. Persons sell the product to friends, acquaintances etc. but are also offered a financial inducement to recruit other people as sales persons who, in turn, recruit yet more sales persons. In this way, person A recruits person B who recruits person C and so on thus creating an expanding chain of sales persons, each receiving a commission on their own sales and additionally further commissions based on the sales of people they have recruited directly or indirectly.
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Among the MLM companies in the country, JC has been the most generous to its distributors, making it easy for them not just to earn a good income but also snag valuable incentives.
JC's 5th year rocking the world of MLM
The FTC closely monitors MLM companies and cautions that the compensation structure, which incentivizes participants to recruit additional participants, "poses particular risks of injury." While the financial risks of getting involved with an MLM are well-documented, the personal ones are harder to quantify but are just as real.
How MLMs -- multilevel marketing schemes -- are hurting female friendships
FitzPatrick said the success stories that some of the MLM companies tout are hard to verify.
Direct sales growing in popularity, concerns
And then there's Mitt Romney, whose ties to Nu Skin and other MLM companies have yielded a torrent of campaign cash to fuel his presidential bid.
Mitt's multilevel minions: Mormon country is rife with miracle-cure peddlers whose get-rich-quick schemes have boomed in the recession. One of their biggest beneficiaries? Mitt Romney
Nearly 30 MLM companies have headquarters located in the state, and many attribute the success of these businesses to Utah residents' dedication to healthy lifestyles, the multi-lingual capability of the populace and the flexible work schedules available with MLM.
Industries take off
While pharmacies dominate the retail space, about one-third of weight loss supplements are sold by MLM companies, who also do quite well with sales of a variety of other dietary supplements.
Russia: is the bear riding a bull? The Russian nutraceuticals market offers great potential but there are some significant risks that must be considered
By contrast, industry estimates appear to be looking at annual reports from public MLM companies about their claims of sales of VMS.
A look at trends in consumer purchasing behavior
The MLM companies persistence at recruiting health professionals puts the doctors at a decided disadvantage.
How much is your integrity worth?
In response to your article by Roddy Scheer, "Greening Up the Downline, Multi-Level Marketing Comes of Age" (Consumer News, July/August 2006) I will say that unfortunately the author has not been introduced to the new generation of environmentally friendly MLM companies. The business model is based on multi-level marketing, but it allows its independent representatives to approach retail stores and markets to carry the products.
Multi-level ... and green?
And while many MLM companies are legitimate, others--better known as pyramid schemes--prey upon the unsuspecting.
Network marketing or pyramid scheme? Often considered a road to riches, direct selling can lead to financial disaster without the proper research. Consider these tips before you sign up
The reports on the CD cater to a wide variety of businesses, from mail order and MLM companies to retail shops and consulting firms.
INFODISK PRO PLUS CD-ROM OFFERED ONLINE FROM JNJ VENTURES
The weasel words of MLM companies do not cover up the reality of this exploitation.
Multilevel marketing: what's the catch?

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