1. What is Network Marketing?

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1. What is Network Marketing?

Network marketing AKA Multi-level marketing (MLM) simply is a marketing strategy based on the concept of multi- level compensating. Simply put, in network marketing the company's sales force is not only compensated for the sales they personally make, but also for sales of other salespeople they recruit. Thus, as you recruit someone you get compensated for their sales and the sales of other people they recruit. As its name implies, network marketing is a way to multiply your gains of other people by working in a network shaped pattern.

The sales people you recruit are called the participant's "Downline". They can provide the participant with many levels of compensation. Network marketing consists of two main parts: selling and recruiting. As we all know the basic function of any trading company is selling. Seeking to perform the selling functions, the participant tries to sell the company's goods or services relying on his own individual efforts. The other technique that the participant must use in order to maximize his profits is recruiting. The participant can recruit whoever he sees qualified to join the program.

For every recruit you bring in you usually get a percentage of his earning, and when they get new recruits, you will receive a percentage of all of the work they do, and with no limit.

2. The viability of promoting your MLM online

The vast majority of network marketing companies realized the importance and viability of promoting their network marketing business online in expanding the business significantly. Online companies can reach exponentially larger audience than ever it could offline. Thus, it is a great way to brand yourself as a leader and expert which will help you ...

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...llowers understand the transformation that they can achieve in their lives if they join your business opportunity. Then show them how this huge transformation is completely achievable.

Writing a winning business plan for your online business really defines the direction your business is heading towards. Your business plan and company profile demonstrate your business identity, mission statement, objectives, products and services, and your distributors' detailed compensation plans.

To sum up the first step:

Create company's basic concepts and structure

Establish yourself as a leader in the marketplace by developing policies and concepts that makes you attract more interested and loyal followers.

Write a business plan for your MLM business that identifies your business' identity, concepts, goals, strategies, and products.

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