Subject: Network Marketing

Theres a pyramid stuff part though. The higher you are (ie the more 'ants' and 'subants' you have), the more you earn.

Langhe, please tell me in what kind of selling [of products and other stuff, like legal advice etc.] it doesn't work this way? It is a simple corporation model, the higher you are and the more people work for you, the more you earn.

You can start your own shop and be the guy who employs others - and then THEY work for YOUR incomes, while they are getting much less than you are. Then, when you are successful, you open a franchise and other people open their shops under your logo, hiring their own employees. And it goes on...

Ok, but you are no more a seller but a director of a company... You can sell if you want but i'm not sure you'll have enough time...

So what is the difference? I can see none. In both cases you're the 'manager' of those, who do the actual working.

Or i don't know what is a pyramid system or what you talk (and the topic maker) is clearly a pyramid system. The odler "player" earns his own money with his own work. Then you recruit someone who earns his money and give back a few to the one who has recruited him and so on...

there is no 'and so on...' in this matter :)

it is exactly how any marketing, selling, trade etc. works.

no, it is way more complicated than that.

I was referring solely to the fact that those who are higher earn more than those who are lower :)

Then you should work on your writing abilities. Impossible to understand there that you were pointing out a single problem in a narrow margin of marketing. Well, when you write what you wrote.

I was referring to the last post of StefNihon, so I assumed that it will be clear what I write about. :)

That was your post:

Stef, if you give it a minute of your thought, it is exactly how any marketing, selling, trade etc. works.

You can start your own shop and be the guy who employs others - and then THEY work for YOUR incomes, while they are getting much less than you are. Then, when you are successful, you open a franchise and other people open their shops under your logo, hiring their own employees. And it goes on...

you are obviously generalizing to, in your own words, any marketing, selling, trade etc..
Furthermore, with shop you were shifting away from network marketing, which usually does NOT imply a shop, but going to customers directly.
Just to make clear that I can read.

i agree with borkos!
everywhere higher you're, more you earn..
just look of any company, or church, or state, or anything else!

I would give an exemple (sorry i had to stop our exchange, i hade to go for my son at school) :

NM way :

"A" is winning 10 000 € per year giving back 10% to the owner of the company : 9 000 € gained.
"A" recruit then 10 "B". Each "B" gain 9 000 € (same reasoning as for "A") and "A" earns 10*1000 € from "B"s and give back to owner 1 000 € (10% of 10 000 € earned by "A") but here he does'nt have to work to earn money.

Classic way :
"A" is winning 9 000 € per year. The margin of 10% of the total sell of "A" is gained by the owner : 1 000 €
The owner recruits 10 "B" with same contract as "A". Each "B" earns 9 000 € and owner earns 10*1 000 € = 10 000 € and "A" earns nothing as he did not work.

Conclusion : the lazy "A" earns money without working in NM system and even same amount than the younger employees (even more with larger recruitements)... Whereas with the classical system, the lazy "A" earns nothing.

(edited)

NM way :

"A" is winning 10 000 € per year giving back 10% to the owner of the company : 9 000 € gained.
"A" recruit then 10 "B". Each "B" gain 9 000 € (same reasoning as for "A") and "A" earns 10*1000 € from "B"s and give back to owner 1 000 € (10% of 10 000 € earned by "A") but here he does'nt have to work to earn money.


NONONO.. there's a big mistake...
In a right NM, no one can don't do nothing!
A has to sell product, if A doesn't sell nothing he won't earn nothing!!!
Understand? you have to work every month also if you are the boss of the whole pyramid!!!

Correct me if i'm wrong but :


In other words, to make money you need to personally sell stuff AND teach your team to sell stuff because you earn commissions on the AMOUNT of product that moves through your new business.

When you wrote that, that means that you earn money even if you don't sell anythingbut just by teaching your downline organization to work well as you earn commission from them ? No ?

No, you've to maintain a certain turnover every month in every NM..
Then, if you reach the minumum quote, you should take the % on the turnover of your sponsored persons.. :)

Ok now everything will depend on the certain amount of turnover needed.

ie : i ask for "A" to earn 500 € per month which is clearly easy to make in the market area concerned for him. Not more than 500 € is needed to get some commission from his "B"s... Imagine now, you have 10 "B" who earn also 1000 € per month... They give back 5% for "A"... Then he earns 500 + 500 = 1000 € while working for half time than "B".
With larger numbers of "B" you can imagine how lazy would be "A" ;-)

A has to follow his Bs to teach them how to do..
you can consider it as reimbursment, the firsts time, then will be actual gain..