Understanding MLM vs Pyramid Schemes

  Written by on Jun 17, 2009 9:34 am

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Do You Really Know The Difference Between MLM & Pyramid Schemes?

I recently spoke with a friend who was finding it rather difficult to understand the difference between Multi-leval marketing and Pyramid schemes. I soon realised that there are many people out there who are unsure about the difference and are unaware of the bad points about Pyramid schemes.

Understanding MLM Vs Pyramid Schemes.

What Is A Pyramid Scheme?

A pyramid scheme is a program where no real money is generated. It relies solely on the circulation of the fees paid by members, often without any product or service being delivered. Realistically, those who enter a pyramid scheme will later fund those who entered earlier on. Soon the money will dry up and those who entered later on will not get paid.

A successful pyramid scheme combines a fake yet seemingly credible business with a simple-to-understand yet sophisticated-sounding money-making formula. The whole idea is that someone makes only one payment. To start earning he/she then has to recruit others like themselves who will also make one payment each.He/she will then get paid for each receipt from those new recruits. They will then go on to recruit others. As each new member makes a payment, he/she will then get a cut. They are promised exponential benifits as the so called business expands.

Most pyramid schemes are very well equipped with fake testimonials, referrals and information. It is made clear at the end that there is no benefit, the money just travels up the chain to the originator, sometimes known as the "pharaoh", and he, along with the first few they recruited are the only ones who really make any money.

What Is Multi-Level Marketing (MLM)?

Multi-Level Marketing (MLM), also known as network marketing, is a marketing strategy that compensates promoters of direct selling companies, not only for the product sales they personally generate , but also for the sales of others they introduced to the company. The products and company are usually marketed directly to consumers and potential business partners by means of relationship referrals and online marketing.

CarbonCopyPRO is a form of Multi-Level Marketing. Everyone generates their own leads, applicants, BIB sales and M1,M2 and M3 sales with WMI and we are then paid commission on that basis. In effect each one person is running their own business. There is no pyramid, not even close. We simply make money from the effort we choose to put into our business. The more effort we put into our business, the commission and residual income we make. We build your business with you. It is not a get rich quick scheme, it takes time to build and advertyise a business but once it is up and running you will see the income potential for yourself.

Any bad press out there is simply from those who assume it is a get rich quick scheme and who think they can become wealthy with no effort. For every bad testimonial out there you will find 20 genuine ones.

For more information please go to http://thehighpower.com and submit an application (Applications are refundable for up to 30 days).

MLM Is NOT Failing! The Current Market Is Making It More Powerful By The Day!

So, Why Are People Slagging MLM To The Ground?

I am starting to get rather frustrated with people slagging off MLM, yes  I agree some don't work, but is that any excuse to slag them all off.?

I started working with CarbonCopyPRO in 2008 and all I can say is that today's market is helping most MLM Businesses to flourish and CarbonCopyPRO is one of them. More and more people are seeking alternative methods of work and are willing to invest in geuine companies that will give them job satisfaction, sercurity for themselves and their families and more free time than they know what to do with.

If you want to succeed in MLM then you must be committed, you WILL NOT make money unless you put the time and effort into it.

When you see ads out there saying CCPRO is a scam, it's because CCPRO is a very big threat the people placing the ads and they need to make their product sound better and stand out.

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