Is MLM a Scam?

Many people are currently asking themselves "Is MLM a scam?" This is a serious question that needs an upfront and honest answer.

Before I answer the question, let me state that if you are looking into joining a network marketing business opportunity, I commend your decision as does Donald Trump and Robert Kiyosaki. They have given network marketing businesses an endorsement as an excellent business opportunity, mostly because the start-up and overhead costs are extremely low in comparison to traditional brick-and-mortar businesses. Many businesses such as Subway, McDonalds, and similar franchises require significant start-up costs, often over $1 million dollars. Many traditional businesses are failing and closing their doors during this difficult economy. Network marketing businesses have a huge upside income potential with top earners making over one million dollars per year. One interesting fact is that network marketers actually see their incomes INCREASE during recessions, contrary to the majority of traditional business owners. Why do network marketers’ incomes increase during recessions? Their incomes increase because more people are looking for a network marketing home business opportunity during a recession as their incomes decrease or at least stay flat and/or they lose their jobs or fear losing their jobs. A significantly increased number of people are looking to replace or at least supplement their income during a recession than outside of a recession.

The downside of most network marketing opportunities is that they are multi level marketing (MLM) opportunities which require matrixes (levels) to be filled before earning commissions. Another hurdle most MLM opportunities face is that their marketing methods are out of date. Such marketing methods include approaching family and friends and using the "3-foot rule," in other words speaking with everybody they come in contact with about their business. Most of these business opportunities’ recruitment tactics involve attending weekly recruitment and information meetings. If an MLM business owner goes on vacation for two weeks, their business won’t make any money while they are gone.

It is because of these problems that most MLM network marketers struggle to make money in their MLM business opportunity. Often these MLM business owners become frustrated because they are not natural salespeople and either struggle to bring in new recruits or their new recruits soon leave out of frustration. As their matrixes (levels) now are not filled per their requirements, now the MLM business owner doesn’t earn a monthly commission.

Now that I have detailed problems associated with traditional MLM network marketing business opportunities, I do want to point out that not all network marketing business opportunities are alike. MLM is not a scam, but the business model makes it difficult for the average MLM business owner to succeed and only the top members in the organization are in a position to make millions.

One network marketing opportunity I have found that does work is Carbon Copy Pro. This network marketing business uses a different model in which business owners earn up-front commissions for new recruits and don’t have to rely on filling matrixes (levels) to earn commissions. So they can earn significant commissions from day one. Carbon Copy Pro is successful because it teaches new business owners how to successfully model other Carbon Copy Pro members’ successes using the Internet to find qualified prospects. Rather than approaching and turning away disinterested family and friends, Carbon Copy Pro members use the Internet to find people that are looking for the type of business that they offer, thus eliminating frustration. Carbon Copy Pro also utilizes a call center and business coaches to recruit new prospects on behalf of the business owners, thus eliminating the difficult sales process that most network marketers face.

About the Author:

Brian Jones is on the top earning team with Carbon Copy Pro, a top tier direct sales network marketing business opportunity.

http://www.AchieveGreatWealth.com

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