A paradigm of how MLMs perform over time is this: a helium balloon let loose in an empty room with a spiked ceiling, where product quality is analogous to the amount of helium. The better the product, the faster the balloon will rise, accelerating unhindered, towards disaster. The other option would be the case of a lousy product, in which case the balloon will sink of its own accord, never getting off the ground. To be sure, equilibrium is not in the cards, except perhaps as an accident, and then only temporarily. The simple fact is that even the most successful products will have partial market penetration. The same is true for services. Demand and "market share" are finite, and to overestimate either is catastrophic.
So why are MLM promoters obscuring this? Who is in control of the supply "knob," carefully and skillfully managing the size of the distribution channels, number of salespeople, inventory, etc., to insure the success of all involved in the business? The truth is chilling: nobody.
Where is the "switch" that can be flipped in an MLM when enough sales people are hired? In a normal company a manager says, "We have enough, let's stop hiring people at this point." But in an MLM, there is no way to do this. An MLM is a human "churning" machine with no "off button." Out of control by design, its gears will grind up the money, time, credibility, and entrepreneurial energy of well-meaning people who joined merely to supplement their income. There is simply no way to avoid the built-in failure mechanism of MLMs. If a company chooses to market this way, it will eventually "hire to Fire!" Thus, the only "control system" will be the inevitable losses and subsequent bad image the MLM company will gain after it does what it was designed to do: fail. And sooner or later we have got to stop blaming this particular MLM company or that, and admit that the MLM technique itself is fundamentally flawed.
Now what are we going to do to save the name of MLM’s and keep the freedoms that are afforded us? Well the time is now, before the government can develop a means to prove that MLM’s are built to fail. We have developed a social network of folks that have tried the common methods of working for engineered workforces and decided that that model was flawed. The MLM model is flawed but it also can clearly have its advantages. The most availing advantage is that if it were structured to eliminate most of the risk it could keep a person employed from generation to generation. What I am trying to say is that you could start by building a channel of downline representatives and keep that downline available to do multiple MLM’s. Risk reduction would then be the occasional accident victim or old age. The clear benefit to the average person is that once they build there organization then they will only have to maintain it, not restructure every time a MLM reaches failure. As it stands today, you can will any business you own to anyone you want. The same is true to MLM’s as they are considered the same as a direct selling business.
If you engaged in the reading of this article please feel free to take a look at http://www.ownyourchannel.com. We are structuring to build the only one time build you will ever need minus the inevitable misfortunes.
Steven D Shook 435-849-1992 Ssshook6434@yahoo.com
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