In this article we will talk about the companies that have had a very good and wise idea, adopt the system of multilevel so their sales can grow dramatically. The only problem is that mortality of companies of multilevel in its first year is very large, 95%, i.e. If this system has been implemented well, that surviving company can be considered a total success. This is the topic of the article Marketing Network MLM vs. For other opinions and approaches, find out what Professor Rita McGrath has to say. direct sale, published the 27.11.2010, on the web page, which is, practically, one of my blogs.

In this article we will talk about the difference between MLM and direct selling, although many people does this difference, and even worse, many people working in one and believes that it is in another. These two types of business, MLM and direct selling can be confused because they are very, but very similar, and if your sponsor or your sponsor tells you that you are, for example, in an MLM business, you do not have any reason for not believing him. I say this because I happened to me like, I was in a direct sale and my company told me things about MLM. So much time that I earned money no matter me much as in a MLM or a direct selling company, I do not know because I have the feeling that my sponsors also could make a difference, but well, now, after so many years, it gives equal. The main difference is that in a multilevel sales volume is virtually sum of volumes accounted for as personal consumption, and in a direct sales company, the sales volume is the sum of the sales of each of the distributors who have placed an order, in any month during the current year. As in the multilevel, the Distributor has a personal consumer product or service of your MLM company (Distributor becomes almost a consumer), and the direct sales distributor sells products or services of your company.

But things are even more complicated when we find sales professionals into MLM companies and vendors consume the product or service of your direct sales company. The most frequent confusion is that direct selling companies can pass through multilevel because their compensation plans are very similar with the compensation plans of companies in MLM, why many dealers or leaders of a direct selling company working years in your company and are under the impression that they are in a MLM company. I can not say that one is better than another, depends on what your goal is, that you like, but I can say that very succulent discounts can win developing networks of consumers, and developing networks of sellers. Each company that is MLM or direct selling has its compensation plan, which can be classic with steps of points and discounts, or may be GE, or a combination of these two. The compensation plan can also be monthly or not, i.e. in some direct selling companies, for example, points begin to calculate each month, i.e. each month starting from scratch, but there are companies that upload step is possible at any time. At the end I would like to me to leave a comment on this article, tell me what are your frustrations, your doubts, your problems. Thanks a lot. Toader Matei video: how to reprogram your mind to be the leader of your MLM business click and download it!