MLM (Multi-Level Marketing): Scam or Legit business [MERGED]

[exzhoray]

Ei! Guyz. I know most of you tsikot people are well oriented when it comes to bussiness and money making.

I just want to ask, whats your catch on MLM's or Multi-Level Marketing? Is it really a 'bridge to financial freedom' or just one method of exploiting the poor and the innocent by blinding them with 'testimonies' on methods on having easy-money.

[kimpOy]

there's no such thing as easy money....

[roninblade]

there's no such thing as easy money....

kalokohan yang mga MLM na yan.

[exzhoray]

nyahaha korekTO!! I agree.. these MLMs are fraud. I just want to discourage my friend from joining. with a 16k reg fee ( that's a buckload of money )

[oldblue]

MLM is more like social freedom then financial freedom.

[russpogi]

MLM = scam. 'nuff said

[kiper]

kung tamad ka walang mangyayari sayo..

kahit anong klaseng business.

kung masipag ka, kikita ka jan.

pero maraming MLM companies ang wala na ngayon.

[froshie1]

MLM? hindi ito scam. magiging scam ito pag pyramiding. Pag hindi ka masipag sa pagbebenta wala kang kita. Just like any business mayrong capital ka dapat para dito at oras na dapat na pinupuhunan. Kung ayaw mo dun sa produkto wag mong papasukin lalong lalo na pag wala kang oras dahil hindi ka talaga kikita.

[Alpha_One]

MLM, at best, is no more than a novel way of doing business. Pag may tiyaga, may nilaga. Pag may isinuksok, may madudukot, pag may tinanim, may aani...*gets shot*

If somebody's trying to sell you into joining an "MLM" promising easy money, either he's lying or doing something illegal.

[empy]

MLM per se is not a scam. but it's a crappy business model. take an unskilled sales force, give them little to no product knowledge or training, and give them an incentive scheme that is sure to demotivate all but the most skilled salespeople and recruiters. anyone who's ever successfully led organization can tell you that's a recipe for disaster.

sure, the law of averages ensures that you'll at least make some sales, but it's a totally ineffective use of your resources. plus, only the people at the very top make the money anyway.

a lot of MLM's become scams when their claims for the product and its earning potential turn from reality into fantasy

[uls]

It's a rob-Peter-to-pay-Paul thing..

MLMs do make some people a lot of money. Usually those who get in early. Or those who actually start the MLM company.

MLMs usually collapse under its own weight. Coz they are simply unsustainable.

So kawawa ung mga late pumasok.

[Galactus]

The problem with MLM schemes, most of the companies into it rely more on "subscription fees" from recruits, who in turn have to find additional recruits to earn income. So in the public's mind, MLM = pyramiding.

Buti sana if they offer great, innovative and useful products, but generally they're common at overpriced. Mahirap ibenta, yung mga bumibili pa puro kamag-anak at kaibigan ko, at kailangan ko pang lumuhod para sila maawa, hehehe

When my wife joined Forever Living, she plunked down 12k+ for the combo kit and then joined First Quadrant (joining fee then was 8,888). Pero without my knowledge, sinama pala ako, her sister-in-law and her mother, plus her 2 friends (pero pautang yung sa 2 friends). So she spent over 48k. Wala pang 5k yung na-recover nya.

[uls]

the joining fee new recruits pay is used to pay the recruiters and the recruiter's recruiter, and the recruiter's recruiter's recruiter and so on....

the products are actually only props to make the MLMs look like legit businesses.

But the main income generator of MLMs is joining fees.

[bambino]

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The problem with MLM schemes, most of the companies into it rely more on "subscription fees" from recruits, who in turn have to find additional recruits to earn income. So in the public's mind, MLM = pyramiding.

Buti sana if they offer great, innovative and useful products, but generally they're common at overpriced. Mahirap ibenta, yung mga bumibili pa puro kamag-anak at kaibigan ko, at kailangan ko pang lumuhod para sila maawa, hehehe

When my wife joined Forever Living, she plunked down 12k+ for the combo kit and then joined First Quadrant (joining fee then was 8,888). Pero without my knowledge, sinama pala ako, her sister-in-law and her mother, plus her 2 friends (pero pautang yung sa 2 friends). So she spent over 48k. Wala pang 5k yung na-recover nya.

akala ko kung ano ang meaning ng mlm , pyramid style pala.

hindi ba bawal sa pinas yan ?

[Alpha_One]

MLM per se is not a scam. but it's a crappy business model. take an unskilled sales force, give them little to no product knowledge or training, and give them an incentive scheme that is sure to demotivate all but the most skilled salespeople and recruiters. anyone who's ever successfully led organization can tell you that's a recipe for disaster.

sure, the law of averages ensures that you'll at least make some sales, but it's a totally ineffective use of your resources. plus, only the people at the very top make the money anyway.

a lot of MLM's become scams when their claims for the product and its earning potential turn from reality into fantasy

Tumpak.

To elaborate, MLM is a form of marketing (obyus ba). Traditional marketing relies on companies hiring salesmen selling products, while MLM relies on the company salesmen hiring salesmen hiring salesmen... (ad infinitum) to sell products. The trouble with MLM is the "ad infinitum" part. While traditional marketing companies stop hiring salesmen when they have enough to sell their products. MLM doesn't have this sort of safeguard - members will continue to recruit new members upon the premise that it'll help them more - it's true, but only up to a point.

Past that point, the MLM scheme will end up having too many salesmen trying to sell too many products to too few people. The new recruits after that eventually end up at best using their own products, or selling to each other - which defeats the whole exercise and puts them back into square one. AT BEST. At worst, these new recruits spend considerable time, effort and money and get back nothing, simply because nobody wants their product anymore (supply far outstrips demand). On the average, people will actually LOSE money because they could have spent their resources on ventures that are much more productive than the MLM scheme they joined too late in.

[boybi]

Di ba MLM din yung mga Natasha, yung mga nagbebenta ng grapeseed supplements, etc.?

[russpogi]

MLM? hindi ito scam. magiging scam ito pag pyramiding.

Oo nga pala. I stand corrected

[bad driver]

pag may malaking joining fee, scam. pag kikita ka sa joining fee ng recruit mo, scam yun.


Avon is an example of a LEGIT, non-scamming mlm. actually 2 levels lang sya and anyone can be promoted to the higher level and not get stuck at the bottom.

so mga pre, magbenta na kayo ng make-up.

[oldblue]

di dapat biruin ang pagbebenta ng make-up hehehe, mas madami pa babae ngaun kaysa lalaki

[tsupermario]

^ tama. isa pa perks ng pagbebenta ng avon, ung mga babae daw nagm-model ng mga latest underwear nila