Network marketing-evolution of free enterprise

Like all-powerful concepts, Network Marketing has also met resistance due to a lack of understanding. People have always been afraid and even ignorant about ideas and methods that may result in change. Humans being are prone to fear especially fear of the unknown. In almost every field of endeavour, be it arts, sciences, medicine, and business etc, most new ideas have always met with resistance and rejection at first. The more unique and revolutionary the idea is, the louder and stronger the opposition to it. Renowned discoverers like Albert Einstein, Christopher Columbus, Louis Pasteur, Thomas Edison etc were victims of ridicule because of peoples’ fear of change. The most fundamental fact of life in our world today is change. As a rule, people are reluctant to change. We resist it, we like the status quo, staying within our comfort zones. Whilst its HUMAN NATURE to stay within what is known and accepted by many, what if you come to realize that what you resist will persist, especially if you have been resisting a better method whose time has come?Fear of change has had its toll on progress. In the early 1960's in the U.S for instance, franchising became a revolutionary new technology in business, and it was also met stiff resistance. Newspapers and magazines wrote what a scam and rip-off franchising was. Stories of people who lost their life savings to some franchise were everywhere. There was a strong move to have franchising outlawed. In fact, franchising actually came within 11 votes of being outlawed by the U.S Congress. Today this once so-called scam is responsible for over 34 percent of all retail sales in North America. Franchise in the U.S is a nearly 800 billion dollar business today.Stock market was once considered shady and a form of gambling. Now, we almost can't do without these industries. Every industry goes through an evolutionary phase similar to this and Network Marketing is no exception.Phases of Network MarketingOver the following years, network marketing has evolved and diversified into a wide range of products and services as more companies adopted this marketing method. Richard Poe in his book, Wave4 (NetworkMarketing in the 21st Century) summarizes network marketing into the following phases:
1945 - 1979 --- The Underground Phase
1979 - 1989 --- The Proliferation Phase
1990 - 1999 --- The Mass Market Phase
2000 and beyond ---The Universal Phase

How Does It Works?
In Network Marketing, you share information and develop personal and professional contacts. You are rewarded for sharing information that results in product sales. Network Marketing empowers you to build your own networking sales organization from your personal and professional contacts, which also empowers everyone to do the same, thereby creating exponential growth of your network. You can earn income from the successful efforts of your network of business associates. Unlike conventional Corporations with one chief executive at the top, in Network Marketing everyone is the CEO of his or her own independent organization.A network marketing company supplies the product. Then they join in partnership with a network of independent representatives, each one in business for themselves while the company takes care of the research and development, finances, management, public relations, production, warehousing, packaging, quality control, administration, shipping, data processing, the accounting and payment of representative sales commissions. Network Marketing is fastest method to reach the end user encourages team building and sharing, and has the advantage that it’s open to all irrespective of background and allows people to earn sales commission. Simpy put, the business model is a proven success.

Pros:

• Little start up costs (Some Companies like Tiens as little as $20 for registration and starter kit) with the potential to build a substantial business.
• Some companies require as little as $100 purchase to start earning commissions.
• Uses a proven business formula for guaranteed success.
• It is a very Low risk business.
• A great deal of support and advice often given from the parent company.
• Flexible -can be run on a full-time or part-time basis.
• Highly expandable - no restrictions on territory. The parent company can supply to many countries.
• Business can be run from your own home. (Great with the Internet).
• Builds your confidence and increases your communication skills.
• You work for the hours you want.
• You are your own boss.With Tianshi fo instance the points you are attain are cumulative till you reach minimum level for commission.
  
• Cons:
• There may be restrictions on your business practices e.g.. Recruitment, advertising etc.
• Your business heavily relies on the success of one 'mother' company and its ability to deliver its products / services on time.
• You may not feel comfortable selling to your peers.
  

Whatever the advantages or disadvantages, network marketing is here to stay and network marketing works as you can find out by clicking this link. Today it is a multi-billion dollar business and it's now a major method of doing business with more and more companies adopting this business model, with more and more independent distributors joining every year. Today, it has grown into one of the driving forces of the21st century economy. Network marketing is now regarded by many business leaders as the business of the future.