Multilevel Marketing basically describes the structure of the market which is used by a company as part of their overall marketing or promotional strategy. This term is also used as Network Marketing, or as a way of selling goods or services through a network of distributors.

MLM Lead Generation – See How a Top Internet Marketer Reveals Simple and Effective Strategy. For example, a product is sold directly to the customer by a licensed distributor or others who will also become a distributor under the first distributor who would buy your product, but also sell to other people and the line continues on in this format. All business have different specific structure, however this would be the basic idea of all Multi Level Marketing Companies. It is a very attractive marketing scheme because it sells hope and appears to be outside the mainstream practice of ‘business as usual’, as well as giving people and families the opportunity to work at home, with their own schedules. Many have found that doing so with an online business gives them the highest levels of freedom. Multilevel Marketing is also known as the "Network Marketing", "Direct Selling", "Referral Marketing", and "Pyramid Selling". In Multilevel Marketing products are supplied by or sold at various levels of independent agents, or distributors, and these agents are paid commission and also buy product at a discount. Multilevel marketing is basically referred by the distributors, business owners, franchise owners, consultants, sales consultants, independent agents etc. to represent their company and the services provided by the company. There are lots of companies who are using this concept of Multilevel Marketing such as Avon Products, Cobra Groups, Success University, Sahara Care House, Telecom and others. Companies sometimes use this Multi Level Marketing scheme to improve their company status or to shave cost of doing business the traditional way such as cutting the cost of advertising. This type of marketing is known as MLM, the acronym for Multi Level Marketing. An MLM company may be an individual, firm, corporation or other type of business entity.

Multilevel Marketing can also provide us various major advantages like long term income stability, freedom to own a business, support from the parent company, relationship marketing, improve your communication skill with professionals, and learning powerful methods of using the internet as an effective marketing tool. Recently many have felt wary of MLM business because of fear of past instances involving pyramid schemes. Many have asked if MLM a pyramid? In a pyramid scheme the distributors ask people to make an investment and also grant them a license to recruit other people so then the investor pays for the opportunity to receive a bonus, or we can say ‘compensation’, when his or her recruit brings in other people. Such schemes are illegal today and deemed unethical. They are unethical for 2 reasons, the first is Fraud and the second is Illegal Recruitment. I think the new generation of opportunity seekers needs to know what they will be dealing with in the vast majority of MLM opportunities.

Multilevel Marketing strategy offers wonderful business opportunities for small growing businesses and they also have many tax advantages as well. If you feel that MLM would be a fit for you, remember to be mindful to watch for and avoid companies set up in a pyramid like scheme, too-good-to-be-true illegal business opportunities set up to fraudulently make money. An extremely wise step to take to avoid these instances is to review our market plan before implement it. Remember to choose a top MLM company that has a good reputation, and one you feel you can represent and work well at promoting.