Friday, December 12, 2008

Is network marketing a scam?



I've been hearing a lot of talk surrounding network marketing calling it 'a big scam'. But is that true? Network marketing is supposed to be a legitimate business where you pull associates into your leg of the business. Most times the company only requires you to pull in three to five people. Then all those people are required to do is pull in three of their own. Sounds simple enough, so why is it always being called a pyramid scheme or a scam? I think that the answer is a simple one. And that answer is that some really are! Some are legitimate businesses and some are conducting unethical business and/or are scamming people out of there money.

Like many others out there, I've had my share of network marketing companies. Going to training seminars and listening to many online and telephone conference calls. And what for? Just a little motivation to keep me thinking that one day I may strike it rich. I learned that there are some companies that are just taking advantage of its associates. There is a site I found called MLM.com. At this site there is a Company Directory that lists just about every Muti-Level Marketing Company out there (unless they're relatively new).

This is a good thing because on this list you mostly likely will find the company that you're currently working with. In the final row of each listing there is something called DSA approval. The Direct Selling Association (DSA) keeps track of what companies have a good codes of ethics, and have not misled their customers or affiliates. You must remember that in most network marketing opportunities the 'affiliate' has to buy product to start. So the 'affiliates' are indeed customers.

At the MLM.com site, it lists if a network marketing company is approved or not approved by the DSA. This my friends is a very important thing in checking to see if the company that you're now with is legit or a scam (a pyramid scheme). Some companies will say NO, on DSA approvals. Others will say YES. The ones that say YES are approved by the standards of the DSA, and enjoin having 'good codes of ethics' towards their members. Or YES meaning that they ARE legit companies.

If the company does not say yes, then it either has not been rated or it will say NO because it is most likely a 'pyramid scheme'. (Some companies are relatively new, so you may want to click to their site and read the 'About Us' or the 'Company History' to find out how long the company has been around. If they've been around for over two years and they still have not been approved by the DSA, then you can bet your hard earned dollar that mostly likely it's a scam.)

I wrote a informating booklet on things like Network Marketing secrets and other things of the such. Not until just recently, did I go back to re-write my tip book into e-book form. Then I thought well why not turn this exciting little information tool into an audio format, so people wouldn't have to only read it. They could load the audio mp3 files into a portable mp3 player and listen on the go. Or they could create a play-list in the comforts of their own home like I do, and read the PDF of the book and take a little adventure threw the little secrets it holds while listening to the audio files.

I don't know, but with all the new gadgets and gizmos they're coming out with these days to help make things easier, someone might just find some ideas from my book to create something really spectacular!


Related links:

http://www.mlm.com/
http://www.dsa.org/ethics/


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K. Rahmaan
Have you forgotten your childhood dreams?