Network Marketing Opportunities – Pyramid Schemes or Legit Opportunities?

The Corporate Pyramid:

If you have a job right now then most likely you are part of this pyramid scheme. The corporate pyramid looks like this in levels from the top down:

1. Owners.

2. CEO:

3. President.

4. Share holders and upper management.

5. Supervisors.

6. Team Leaders.

7. General Labourers (people with the lowest skill sets).

With the corporate pyramid, the people on the top make most of the money because they are entrepreneurs and take the most risk. They most likely possess the most skill and experience as well.

Now let’s look at the Network Marketing Pyramid:

1. Owners.

2. CEO

3. President.

4. Share holders.

5. Distributors.

Yes it is obvious that they are both based on the pyramid structure. Every system from the government to elementary schools is based on the pyramid structure. The people on the top make the most money and will always make the most money. They are the ones who take the most risk and possess the most experience. The people on the bottom of the corporate pyramid make the least amount of money because they take the least amount of ‘risk’ and most likely have the least amount of experience.

Are you currently in this type of pyramid?

Now let’s take a look at the word pyramid. In the corporate world, the pyramid is used as a structure to demonstrate the levels of authority from the top down. In the world of network marketing, the same idea is present.

However, the pyramid that everyone uses as a ‘negative’ expression generally implies some kind of money making venture that doesn’t have a true product. Now most people on the Internet are naïve and believe that just because a business is on the Net, it can doesn’t have to be subject to the laws like traditional businesses. This is not true. There are authorities who watch and govern both the traditional world and the virtual world of business.

The ironic thing is, network marketing companies are really ‘traditional brick and mortar’ businesses. They are physical corporations that have decided to save on advertising and use ‘independent’ distributors to market their products. Advertising is hands down one of the most expensive costs to do business.

Since they save a ton of money by using independent contractors to market their products for them, companies of integrity are usually willing to pay the lion’s share of the profit to the marketer who is committed to his or her business. This is true leverage.

So yes, network marketing is based on the corporate pyramid. They are real companies that have ‘real’ products. They also have to comply with the same laws as other businesses otherwise they wouldn’t last one week. The FTC (Federal Trades Commission) a consumer watch dog, cracks down on any fraudulent internet based companies.

The great part of the networking pyramid is that it pays much better to the professional marketers who possess the skills necessary for success in this industry. Professional marketers can make upwards of one hundred thousand dollars per year and from the comfort of their own homes.

Which pyramid do you want to be part of?

  Network Marketing vs. Pyramid Schemes