Everyone wants to be wealthy but no one wants to make an effort to become one. This is the reason why a lot of people are easily blinded by 'get-rich-quick schemes'.
You probably heard of countless negative claims about network marketing. Most of it pertains to a system called “ponzi scheme” or more commonly known as a pyramiding scam. This is perhaps due to the several network marketing companies who eventually folded up after several years or those negative claims from distributors who did not recoup their investments.
Personally, I am both in favor and not favor in network marketing. How's that? I am in favor of the idea of network marketing but I am not in favor of the practices of some of its distributors.
I've been to several network marketing companies in the past. However, I was not successful in it. Maybe it's not for me. Or maybe I did not actively engaged myself in it. But anyhow, here's what I liked about the idea of network marketing ---- network marketing uses both the Principle of Least Effort and Principle of Multiplier Effect.
PRINCIPLE OF LEAST EFFORT
Achieving maximum results by exerting the least effort is the goal for most of us. This is what the Principle of Least Effort is all about. Take for example a real estate developer who needs someone to excavate a land field measuring one hectare with a depth of two meters. For this job, he is willing to pay 200,000 pesos. There are two applicants in this job. One who is willing to do manual labor with the use of a shovel so he can pocket the whole amount for himself. The other one spent 50,000 pesos and rented a heavy equipment digging machine.
In one week, the one who leveraged the use of the machine finished the job and is ready to accommodate other excavation jobs. The other one who used manual labor may or may not have finished it in one month but ended up very tired and exhausted.
PRINCIPLE OF MULTIPLIER EFFECT
The Principle of Multiplier Effect involves duplicating yourself using other people’s time, effort, and resources. In this principle, duplication or multiplication of yourself is crucial. You must be able to successfully multiply yourself through other people. If done correctly, you can easily multiply your income beyond your expectations.
Let’s take for example an entrepreneur who just started a business. He selects, hires, and trains his employees so he could multiply himself through them. Because of his good management, employees did well and the business expanded. Thus, he opened more branches.He then hired more employees and focused himself on selecting, hiring, and training these employees. Years later, his business multiplies with more branches producing more income for him everyday until such time that it now only needs little of his time and effort to oversee the business because he has multiplied himself through his employees. He was able to successfully multiply himself by using other people’s time, other people’s work, other people’s experiences, and other people’s ideas as a leverage to multiply his income and wealth.
WHAT I DON'T LIKE
Over the years when I tried network marketing, there are a lot of people who are consumed by human's nature of greed. I remember my upline told me to buy a car using my personal money to show off something to my prospective downlines as a result of hard work from network marketing. I out rightly said 'NO'.
Another thing that I discovered is that some of the top earners usually just hire luxury cars to show off to their prospective downlines. They claim they were able to buy these cars as a result of their income earned from network marketing. It is an outright 'LIE'.
And because network marketing is a 'SHOW OFF' business, most network marketers don't have enough assets. They usually spend their income in luxuries to show off something to their prospective downlines to entice them to join the company with them. They buy luxury cars, luxury bags and wallets, engage in luxury vacations, etc. These luxuries are not assets and do not generate passive income for them.
WHAT'S YOUR STAND?
How about you? What's your stand in network marketing? Are you in favor of it or not? I would like to hear your experiences, if you have one. Please share it by commenting it below.