Multi Level Marketing and Network Marketing explained - vital information for the potential new MLM recruit.
ARTICLE SERIES: The Dynamics of an MLM Distributorship.
Where are the lies in MLM?
I am often asked about the "lies" that MLM recruiters are guilty of perpetuating. Many very honest people take up MLM - including people who have "...never told a lie in their lives!" So, where are the lies?
The basic lie is that MLM gives all intending distributors an equal income opportunity. In practice, it does not.
New recruits do not know this. Many mid-term distributors do not know this. The upper echelon do know this.
By telling new recruits that there is an income opportunity for all, distributors perpetuate the lie, either knowingly or unknowingly.
The lie becomes truly sinister at the level of understanding where a distributor knows he or she is deliberately perpetuating the lie. It is at this point where the lie is driven by these people to evolve into an "understanding" that all who "fail" are simply not "good enough" to succeed. This lie is disseminated through the lower ranks from the moment they might choose to join. The challenge is thrown out to new recruits: "do the right thing or perish! But! - if you do the right thing you cannot help but succeed!!"
The fact is, it is impossible for all but a very few to succeed. The math and actual historical fact proves this.
New recruits and mid-term distributors are persuaded to "...do what successful people do (the "right thing")" in order to succeed. The MLM experience aims to produce "clones" who do as they are told to do, at least until such time as their money is exhausted, and often enough, until their credit is also exhausted. From the very beginning of their MLM experience the "successful" upper echelon distributor emphasises recruiting as the way to success. This is true - recruiting is the only way to success in MLM. Consequently, nearly every new distributor commences a recruiting drive of some sort.
Effectively, these inexperienced recruits are driven to spend money to recruit. Most often, these same people are also driven to spend money on their own "how to succeed in MLM" education. In order to recruit profitably, a minimum product through-put is also most often required. It is during this period of hopeful enthusiasm that the MLM upper echelon profits wildly. A relatively small amount of money spent by each new distributor adds up to biilions of dollars world-wide. These billions, whether they are spent to recruit new people, to "educate" themselves or to buy product, serve to perpetuate the MLM "business" cycle.
Recruiting is an ever-renewable source of income for the upper echelon. Some 50 - 70% of distributors in MLM "retire" or "fail" each year.
Any and every statement that supports the contention that MLM is based on credible integrity is a lie.
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