Multilevel marketing (MLM) is the act of offering items by

enlisting autonomous wholesalers who are provided with a guarantee

that they can acquire cash by reselling the items of the company, as

well as by enrolling more merchants who will likewise initiate more

wholesalers.

Traditional Marketing Vs Network Marketing

Manufacture

National Agent

Wholesaler

Sales force

Advertising

Retailer

Manufacture

Distributor

Customers

Once the products are introduced by the company into the market, the distributors or retailerstend to distribute it further along their chain. These people tend to get commission on thenumber of items sold as well as the amount of items too. There are many ways to recruit newpeople into the stream and motivate them or train them. The kind of training that takes place interms of MLM scenario is very effective.

Most of the people who tend to be a part of MLM team tend to be just ordinary people withless or no professional background. Therefore, the amount of training has to be quite a lot withemphasis on the program as well as the monetary incentives. This will keep people encouragedand going as well. MLM works on the distribution model, which is very robust and very effectiveas well.

People who join MLM movement tend to do so because this is one of the effective ways toearn money and that too at one’s own convenience and ease. With this, one never has to worryabout grueling office schedules and the stress or the tension that is usually a part of suchworkplaces.