Network Marketing, The Business Model

| Total Words: 844

Network marketing is a multi-billion dollar business. As a business model, it is taught in major universities around the world. The Wall Street Journal stated, between 50% and 65% of all goods and services sold in this millennium will be through network marketing. It is a business model that is perfectly suited to the information age.

What is this Business Model?
Network marketing is a way of doing business that is different from the traditional model used by most consumer packaged goods, food and drug companies. It is one of the most promising income opportunities in American today. It is the idea of many people each doing a little work, as opposed to a few people doing a lot of work. To quote J. Paul Getty, the worlds first billionaire, Id rather have 1% of the efforts of 100 people than 100% of my own.

Rather than using the customary distribution process of moving products from manufacturer to wholesaler to retailer to consumer, network marketing companies use a network of independent marketers to move products directly from the manufacturer to the consumer. Further, the cost structure of a network marketing organization is different than a traditional...

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