subject: Does Network Marketing Work [print this page] There is always going to be the question of whether or not network marketing works, and it is a tough question to answer. Before we get into that however, lets discuss the reasons that network marketing tends to fail:
Greed -- More often than not, the leader of a network marketing company will create a network that is intended to serve the needs of the highest individuals in the company. It will serve the lower members to an extent, but not to a point that could be considered helpful. That said, it is not uncommon for a network marketing company to collapse from the bottom.
Non-Existent Products -- When you ask the question: Does network marketing work?, you need to consider that this is the only type of company in which you can launch a company without a product. When this is done, the company will usually ask any new employees or members to provide some sort of monetary investment, and the product will be announced later. Whether or not there was a product at launch is debatable.
These are two of the most common reasons for failure, but the reality is that network marketing CAN work if the right tactics are used. First of all, the company will need to have a legitimate product. Secondly, it needs to be a product that everyone can use. Pampered Chef is a great example -- it provides useful kitchen appliances at a decent price, along with the opportunity to help represent the company. Another great example would be cellular phone plans -- many want to jump on the smartphone bandwagon, but they have no idea where to start.
Naturally, the success or failure of a network marketing company comes right down to the people in the network. You need them to promote your product and make sales. In order for them to do this, they need incentives, and they need a good reason to keep going. You can provide rewards for those who do the most business and win the most clients, which means your people will have a reason to sell.
What it all comes down to in the end is running a business that actually works. This of course comes back to the question of: Does network marketing work? Believe it or not, the vast majority of network marketing companies are a rousing success. The problem however is the small amount of failures as these are most often advertised. If you can start a company that has the required components, there is absolutely no reason you should not push through the established stereotypes and create a great company. The biggest question however is whether or not you are ready to do that. There is a lot of work involved, and you have a long way to go. Get started today and see where you end up!
