09-01-2014, 16:05
Ok I'm back, with a little more time to further clear up some things.
Firstly I'd like to point out that comparison to Bernie Madoff is actually quite silly and almost laughable (no disrespect intended), this couldn't be further from that. IF you were going to make any comparisons to some sort of scheme or scam it would be more appropriate to accuse this of being a "pyramid scheme" BUT its NOT, and here's why:
"Pyramid Scheme (illegal scam)
A pyramid scheme can be defined as a fraudulent money-making scheme that is based on a non-sustainable business model that involves the exchange of money primarily for enrolling other people into the scheme without a legitimate product or service being delivered. Eventually the number of new recruits fails to sustain the payment structure and the scheme collapses with most people losing the money they paid in.
In a more practical sense, probably the easiest way to identify pyramid schemes is firstly there is no legitimate product or service involved (ie you do not get a legitimate product in return for your initial investment). The second way to identify pyramid schemes is that you do not get a financial return unless you have successfully introduced a number of new recruits into the pyramid. Basically, pyramid schemes concentrate on the money that you could earn by recruiting new people into the pyramid and generally ignore the marketing and selling of any products or services.
Network Marketing (legitimate, legal business model)
The concept behind network marketing is a distribution model that allows a company to sell their products directly to the consumer. Choosing to use a word of mouth approach (networking) instead of advertising through traditional streams (eg media). Therefore instead of paying the media for advertising, network marketing companies are structured to reward distributors through commission in return for selling their products and finding new customers.
Therefore the main focus of a network marketing company is product distribution. In fact, in a legitimate network marketing company, distributors are not required to recruit new distributors in order to earn a commission, they can earn money purely by selling the company's product.
Although distributors can choose to sell the company's products to earn their commissions, not everybody wants to be a sales person and therefore choose to recruit more distributors into their organization as a means to build their referral base. Not only does this create a group of loyal customers, it also allows you to leverage the efforts of others to create a residual stream of income."
Here is a youtube video further explaining what I quoted above http://www.youtube.com/watch?v=DUWmgsgMkPU
Also I must again remind you that we are not doing things in the typical way you normally would in network marketing.
Normally if you came across a network marketing company and you wanted to join, or a friend introduced you and wanted you to join, You would go ahead and sign up right away and order the product to start selling so you can start making your money back and/or THEN (after signing up and ordering product) start building your downline/team so you can start making residual income. This works for some of the real go-get-ers but usually what happens is people get excited, sign up, and then don't do the necessary work thereafter and, instead, just end up with a bunch of product piled up in their garage that they didn't sell and now they feel duped and theyre angry cuz they "lost" their money and they're angry at their friends for getting them to sign up in the first place but of course you don't want to blame your friend so you get online and right a bunch of bad reviews about the company being a scam etc.. Well, as you see in the explanation above and in the video , if the company is a legitimate networking marketing company with a legitimate product and value flowing down then its really not the company's fault but rather your friend's for not really helping you out in the first place in making sure that you have the actual desire and ability to take the necessary actions to succeed. Sadly this is a typical example of what can happen and that's why David Frost has put together this new system that says you insure your success FIRST! Don't go out joining companies until you build your team FIRST and have already set yourself up for success. Then when you do join a mlm company you have already stacked the deck in your favor and are guaranteed to start making money right away. Simple as that really. Like I said, they are doing this in a college class. The school is Happily sponsoring this. They would NOT allow that even for a second if it were some kind of illegitimate fraud. That's is just unthinkable.
There is a website you can g to although I don't think they are really using it anymore and I think they took down several of the videos they had there but you may check it out if you like. It is www.thenetworkingproject.com
I would like to ask at this point that if you have not done your research and did not read completely through my posts and watch the videos then please DONT comment as you likely do not fully understand what you are talking about. If you understand how legitimate mlm companies work and you would like to have a serious discussion about it then lets talk!
I will answer all questions as best I can and Id like to keep this discussion as positive and polite as possible. Please keep your negativity to yourself. THANK YOU!
Firstly I'd like to point out that comparison to Bernie Madoff is actually quite silly and almost laughable (no disrespect intended), this couldn't be further from that. IF you were going to make any comparisons to some sort of scheme or scam it would be more appropriate to accuse this of being a "pyramid scheme" BUT its NOT, and here's why:
"Pyramid Scheme (illegal scam)
A pyramid scheme can be defined as a fraudulent money-making scheme that is based on a non-sustainable business model that involves the exchange of money primarily for enrolling other people into the scheme without a legitimate product or service being delivered. Eventually the number of new recruits fails to sustain the payment structure and the scheme collapses with most people losing the money they paid in.
In a more practical sense, probably the easiest way to identify pyramid schemes is firstly there is no legitimate product or service involved (ie you do not get a legitimate product in return for your initial investment). The second way to identify pyramid schemes is that you do not get a financial return unless you have successfully introduced a number of new recruits into the pyramid. Basically, pyramid schemes concentrate on the money that you could earn by recruiting new people into the pyramid and generally ignore the marketing and selling of any products or services.
Network Marketing (legitimate, legal business model)
The concept behind network marketing is a distribution model that allows a company to sell their products directly to the consumer. Choosing to use a word of mouth approach (networking) instead of advertising through traditional streams (eg media). Therefore instead of paying the media for advertising, network marketing companies are structured to reward distributors through commission in return for selling their products and finding new customers.
Therefore the main focus of a network marketing company is product distribution. In fact, in a legitimate network marketing company, distributors are not required to recruit new distributors in order to earn a commission, they can earn money purely by selling the company's product.
Although distributors can choose to sell the company's products to earn their commissions, not everybody wants to be a sales person and therefore choose to recruit more distributors into their organization as a means to build their referral base. Not only does this create a group of loyal customers, it also allows you to leverage the efforts of others to create a residual stream of income."
Here is a youtube video further explaining what I quoted above http://www.youtube.com/watch?v=DUWmgsgMkPU
Also I must again remind you that we are not doing things in the typical way you normally would in network marketing.
Normally if you came across a network marketing company and you wanted to join, or a friend introduced you and wanted you to join, You would go ahead and sign up right away and order the product to start selling so you can start making your money back and/or THEN (after signing up and ordering product) start building your downline/team so you can start making residual income. This works for some of the real go-get-ers but usually what happens is people get excited, sign up, and then don't do the necessary work thereafter and, instead, just end up with a bunch of product piled up in their garage that they didn't sell and now they feel duped and theyre angry cuz they "lost" their money and they're angry at their friends for getting them to sign up in the first place but of course you don't want to blame your friend so you get online and right a bunch of bad reviews about the company being a scam etc.. Well, as you see in the explanation above and in the video , if the company is a legitimate networking marketing company with a legitimate product and value flowing down then its really not the company's fault but rather your friend's for not really helping you out in the first place in making sure that you have the actual desire and ability to take the necessary actions to succeed. Sadly this is a typical example of what can happen and that's why David Frost has put together this new system that says you insure your success FIRST! Don't go out joining companies until you build your team FIRST and have already set yourself up for success. Then when you do join a mlm company you have already stacked the deck in your favor and are guaranteed to start making money right away. Simple as that really. Like I said, they are doing this in a college class. The school is Happily sponsoring this. They would NOT allow that even for a second if it were some kind of illegitimate fraud. That's is just unthinkable.
There is a website you can g to although I don't think they are really using it anymore and I think they took down several of the videos they had there but you may check it out if you like. It is www.thenetworkingproject.com
I would like to ask at this point that if you have not done your research and did not read completely through my posts and watch the videos then please DONT comment as you likely do not fully understand what you are talking about. If you understand how legitimate mlm companies work and you would like to have a serious discussion about it then lets talk!
I will answer all questions as best I can and Id like to keep this discussion as positive and polite as possible. Please keep your negativity to yourself. THANK YOU!