What so bad/good about MLM?
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People have being running away when they hear MLM.
Is MLM that bad????
Anything good about it???
Can we have a MLM with Singapore good????
Care to share???? -
mlm is prone to be abused by people. guns and chewing gum also not bad. but they're banned hereOriginally posted by dreamthinkdo_ers: People have being running away when they hear MLM. Is MLM that bad???? Anything good about it???
Can we have a MLM with Singapore good????
Care to share???? -
can
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I agree with you here. To me, I feel that MLM is nothing wrong. Its the people who is doing it that makes MLM's reputation good or bad. MLM, like all other businesses, is about product movement that generates income, not the recruitment of people. It is not a country club. However, the fact is that there are lazy people around, thinking that as long as I recruit some people to do the job of selling for us, I need not do anything and able to get income. That's where pyramid selling comes in. I guess everybody know about these facts.Originally posted by boy in blues:mlm is prone to be abused by people. guns and chewing gum also not bad. but they're banned here
As sales, a good intention of rewarding people for recommending the products to other people initially, turned out to be a "recruitment scheme" for many "MLM" companies. As a business, an intention to look for capable, true business partners, turned out to be a "recruitment centre" for anybody.
Sad isnt it? Just my thoughts though. -
True, most of the times, people do the wrong things at the wrong time. Thus, thsu ruining the relationship b/w them and their friends, I was in this kinda situation b4 when i was in NOP, now in another, learn quite a number of management stuff which in return got back most of them. One thing very important is not to perceive that everyone is your customer. That's the biggest mistake.Originally posted by hjxfabio:I agree with you here. To me, I feel that MLM is nothing wrong. Its the people who is doing it that makes MLM's reputation good or bad. MLM, like all other businesses, is about product movement that generates income, not the recruitment of people. It is not a country club. However, the fact is that there are lazy people around, thinking that as long as I recruit some people to do the job of selling for us, I need not do anything and able to get income. That's where pyramid selling comes in. I guess everybody know about these facts.
A good intention of rewarding people for recommending the products to other people initially, turned out to be a "recruitment scheme" for many "MLM" companies. Sad isnt it? -
Totally agree with that. Many people who are in those MLM companies, will have the intention of getting that person to join you or sell the product to him even when first met. Thats scary. Doing MLM can be a good way let you know more friends or get more enemies. Its up to individual though.Originally posted by sLeEpWaLkErInG:True, most of the times, people do the wrong things at the wrong time. Thus, thsu ruining the relationship b/w them and their friends, I was in this kinda situation b4 when i was in NOP, now in another, learn quite a number of management stuff which in return got back most of them. One thing very important is not to perceive that everyone is your customer. That's the biggest mistake. -
i agree that some people just do the wrong things at the wrong time with the wrong mentality. some are so blinded by money that they go out to cheat their friends and tarnish the reputation of MLM. MLM is just another marketing model. there's really nothing wrong with the concept. it's really the people. that's why a good education system is v impt.. dun let your associates go out and do the wrong things ah, for the sake of all MLMs.. shoo black sheeps shoo.. lol
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There is nothing bad about it, otherwise it won't be legal in the first place.
My friend who is doing MLM told me that this business allows you to see who are your true friends and who are not.
For example, you are doing skin care products, like Nuskin or Artistry, and you approach friends who are into skin care. They say no to you even though they see great result on you and would rather give business to Clarins, Lancome etc. Do you think you need friends like that? Though you are making money from selling the products to them, they also benefit from the good product results.
So far I have heard many good result stories of MLM products from both people who are doing the business and people who are not (just consuming the products).
When friends turn you down, what are they thinking?
"Hey, you are trying to make money from me? Fat hope!" and then you will see them going to GNC, or shopping malls to buy similar products. -
There is nothing good or bad about MLM. It's all up to individuals. Some of us are good at direct selling, while some are only good at telemarketing. MLM is just another way of marketing. Not all people are cut out for MLM. But people who can do, and are willing to do it, do become successful. Likewise for telemarketing and direct selling. I have worked with a telemarketers whose monthly commission is equivalent to her manager's pay or even more. Plus her monthly salary she is paid more than her boss. Hence we cannot say that telemarketing is bad. Likewise we cannot say MLM doesn't work.
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MLM always give people false illusions of becoming rich...however people don't see the true nature of MLM becoz they think money is so easy to make in MLM...
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Good MLM companies don't give you this kind of illusion. They will tell you that you need to work hard, like talk to 10 ppl a day if you do full time. If there is a company telling you it's so very easy to make this money, any educated persons will get put off by that. Personally I do.Originally posted by Cepat:MLM always give people false illusions of becoming rich...however people don't see the true nature of MLM becoz they think money is so easy to make in MLM...
Many ppl turn away from MLM because they initially go find out thinking that it's a get rich fast formula and get disappointed after they hear from the company itself that it is not. -
Then which MLM company is good?
Those listed as members in the DSAS? -
think only 5 companies are officially "certified" by DSAS, aka direct selling association of singapore, and i am from one of them...hahaha...
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more than that actually.....Originally posted by nightzip:think only 5 companies are officially "certified" by DSAS, aka direct selling association of singapore, and i am from one of them...hahaha... -
Do you feel more comfortable buying a health product from MLM or Retail store like eg Guardian Pharmacy?
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the DSAS has no authority, it only sets the rules of the games, companies that want to be in the "association" can buy the licence, it is not as like in Taiwan or other countries whereby there is a governing body to oversee the operations of MLM companies. Maybe when Singapore hit a certain standard, there might be one, or when there are too many "remarks" about the players of the game. CASE is a slightly more powerful body as more of the companies offer consumables, because of this, they are considered commodities or goods in layman term, thus they have a right to interfer. Normal when u file a report to DSAS, they will refer you to CASE. If u have notice some pass few incidents of unable to get back refunds in the Strait Times forum, DSAS said that they do not have the authority. I am just puzzled about this, maybe someone can give me a better picture?
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No. Slim10 could be bought from Watsons and Guardian Pharmacy.Originally posted by Cepat:Do you feel more comfortable buying a health product from MLM or Retail store like eg Guardian Pharmacy? -
haha...ya lor...Originally posted by Honeybunz:No. Slim10 could be bought from Watsons and Guardian Pharmacy. -
who is yur customer then?Originally posted by sLeEpWaLkErInG:One thing very important is not to perceive that everyone is your customer. That's the biggest mistake. -
ok, now. the idea is you ONLY buy stuffs when you think/believe you need!
that is most important, else next time, you stock up and never use the health products or home products, then you feel being cheated.
Also, the MLM people's main aim should NOT be to earn money, they actually want to improve the lives of the people they know.
And, you need effort in MLM to earn money not sit down and shake legs.
BUT the main idea is NOT to get many people into your front or downline! Cuz even if you have many people, but they DONT move the products, its just like a skeleton and people will drop off one by one. The idea is to bring in people who CAN move products and is SOCIABLE!.....
....DUN believe those diamonds etc...or motivators who talk about bringing people into the organisation etc...they will drop off eventually if there is no PV to motivate them..etc. -
Fallacy 1: You can't get success from MLM
It isn't true that you can't get success. Many people have been successful and have earned money. There are always hungry enough people, people who are aggressive enough to earn money to make use of the MLM strategy to 'succeed'
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Crux of the matter is really how MLM works. MLM is a strategy in which the PRODUCT is no longer the central importance in a business. By utilising the strategy to capitalise on MOST of the masses' desire to 'succeed' and have their own business, this 'downline' approach feeds this desire successfully and while the company introducing Product X through MLM has a thousand and one 'retailers', they have barely few real customers.
In a regular business, you look at a your market size. For example, a generic product can look at the ENTIRE Singapore as its market, possibly any one from the ages between 14 - 50. We will take an arbitrary number of 2.5 million people.
Let's do some maths. If everyone from the top level recruits 4 people to 'sell' their products for them, and to make it easier, let's say each level thereafter manages to find about another 4 more. Of course in a real life situation (that is a non-pyramid MLM), some people will find 3.. some people wil be more successful and find 20 and Some will give up. But... let's just make it a generic 4. So how many layers of 4 clientswould it take to reach 2.5 million (which is where you reach ultimate market saturation?) My calculations gave me about the 10th - 11th layer. That is about when (if the MLM is wildly successful) about everyone in the 2.5 million market have been converted to a 'pusher of the product'. Biggest question is... which layer do you belong to? And how many 'layers' of downline do you get to get before the market reaches saturation point?
what's the repercussion of that? Simply that you have an entire market of sellers and no buyers. What happens to every person on the final layer? They make a major loss of investment, because they don't KNOW which layer they belong to when they invest. (Which in the real world situation, you would know how many layers of merchants separate you from the OEM to the retailer). Who are the people who REALLY know what they are doing? The people right at the top of the MLM who are earning hordes of money and laughing their way to the bank. You see, they have already calculated how many layers it would take for the market to bust. And when they recruit enough layers of hungry, entrepeuners wanna-bes, they close the business and shut down. Which is why there are always 'different' waves of MLM businesses... suddenly it would be cosmetics.. suddenly it would be health foods.. the product isn't important.. what they are REALLY selling is a membership to a desired lifestyle.
Every person that you recruit may be possibly join the last layer of the venture.It is a small problem that occurs when many MLMers approach their friends and get upset when friends are not interested in the product. If a sales person approach me in a shopping centre, and I reject the product due to any of my own reasons (don't have money at that time, don't feel like buying it, dont like the face of the sales person), it doesn't become personal. It doesn't become 'MY lack of desire and drive' simply cos I dont feel like patronising a certain business.
What is a bigger problem is.. what if your friend is interested. and invested. and.. unfortunately belong to the last layer before the market reaches saturation point? Your friend would have no 'downline' and since all the available market have already turned 'seller', no customer to sell his products to! Of course, you may say, not all business work out what. Every type of business has its own risks.BUT most business have a fighting chance before it starts.
So... does MLM works? Definitely. It can make money for YOU.
Does it contribute strongly to economic and social factors?
Hmm. What do you think?
Is it ethically correct?
Ah... It can make people successful, it WORKS.
But is it ethically correct?
No one can answer the question for you. -
It is ethically correct. Unless you have anything to point out to me that I may not aware of, to show anything that is not ethical.Originally posted by ShrodingersCat:Is it ethically correct?
Ah... It can make people successful, it WORKS.
But is it ethically correct?
No one can answer the question for you. -
that's the whole point with ethics isn't it?
It isnt like a morality code where you have to follow
or ten commandments etc
so my ethics would be different from yours... and also priorities and values. But I think there IS a very large grey area in between what is absolute right and absolute wrong.
and its in this grey area that makes some people not be part of an MLM and others fervently believe in it.
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You haven't answered my question leh. You only define ethnics and moral.Originally posted by ShrodingersCat:that's the whole point with ethics isn't it?
It isnt like a morality code where you have to follow
or ten commandments etc
so my ethics would be different from yours... and also priorities and values. But I think there IS a very large grey area in between what is absolute right and absolute wrong.
and its in this grey area that makes some people not be part of an MLM and others fervently believe in it.
I am asking you to point out some examples. Not saying you are wrong. Just want to know if there is anything that you want to point out that I am not aware of. Just want to find out. -
well.. i dont think that the general MLMers are unethical. And i don't think ALL forms of MLMs are unethical though some forms come close to it, even when it is not illegal.
I do feel that a system of business where the people right at the top who start it continuously try to 'attract' people to increase layers despite knowing that system can bust anytime is an unethical system. And they DO know when it will bust.
But to the average 'investor', they are often not aware of this. They are sold on the premise of entrepeunership, opportunity and profit.
Imagine, if a businessman tell you, his product is very special and you will make a lot of money if you become partners with him to sell the items, and even better, since this is such a good deal, you can ask your neighbours and best friends to join too!
BUT in actual fact, he already have a lot of partners and he is actually making money from your investment and not really from selling the product. In fact, he knows that your whole neighbourhood is 70% full of his 'partners and in a while the market will be saturated. He knows that the 'partners' you introduce into the scheme or THEIR 'partners' will be making a loss in investment. BUT he does not tell you this. He deliberately still leads you on the same premise of a great opportunity.
If you know about this, would you say he is an ethical businessman? It is a great business idea, he can be a wildy successful businessman, BUT I think i doubt someone like this would come across as an honest, sincere businessman.
In fact, if he tells you this: you know, you belong to the 11th layer. We have calculated that by the 12th layer the market will be saturated and it would be difficult for people who join from here onwards to recoup their investment But that's their problem. YOU can still make money if you still tell people they can be successful if they join our partnership! People make lousy investments all the time what! It is not your fault if they dont check. And remember, you make money from them!
Imagine, if he tells you this. Would you go ahead and still attract people to join the system?
BUT having said that, the world of business is cut throat. So lots of people can do worse things than this. Many products have used the MLM system successfully. BUT in an MLM system where the marketing focus is NOT on the product but on the partnership opportunity, then I think obviously it is out to make use of people's desire for wealth. It works. BUT for me, I do not consider it an ethical system of marketing.